>>from around the globe. It's the Cube with digital coverage of VM World 2020 brought to you by VM Ware and its ecosystem partners. Welcome back, I'm still minimum and this is the Cubes coverage of VM World 2020 our 11th year doing the Cube. First year. We're doing it, of course, virtually globally. Happy to welcome back to the program. One of our Cube alumni, Shannon Champion, and she is the director of product marketing with Dell Technologies. Shannon, Nice to see you and thanks so much for joining us. >>Thanks for having me. Good to see you as well. >>Alright, So big thing, of course, at VM World, talking about building off of what was Project Pacific at last year's show? Talking about how kubernetes all the wonderful cloud native pieces go in. So let's let's talk about application modernization. Shannon, you know, with a theme I've talked about for a number of years, is you know, we need to modernize the platform, and then we can modernize the applications on top of those. So tell us what you're hearing from your customers and how Delon vm, where then, are bringing the solutions to help customers really along that journey. >>Yeah, I'd love Thio. It's fun stuff. So, um, enterprises are telling us that especially now more than ever, they're really looking for how they must digitally transform. And they need to do that so they can drive innovation and get a competitive advantage on one way. That they're able to do that is by finding ways to flexibly and rapidly move work loads to where they make sense, whether that's on premises or in the public cloud. And the new standard for doing this is becoming cloud native applications. There was a recent I. D. C. Future Escape that predicted that by 2025 2 3rd of enterprises will be prolific software producers with code being deployed on a daily basis, and over 90% of applications at that time will be delivered with cognitive approaches. So it's just kind of crazy to think, and what's really impressive to is that the sheer volume of applications that are anticipated to be produced with these cloud native approaches Ah, it's expected to be over 500 million new APS created with cognitive approaches by 2024 just kind of putting that into perspective 500 million. APS is the same number that's been created over the last 40 years. So it's a fun, fun trend to be part of. >>Yeah, it's really amazing. When I talked to customers, there's some It's like, Oh, let me show you how Maney APs I've done and created in the last 18 months. It was like, Great. How does that compare before? And they're like, we weren't creating APS. We were buying APS. We were buying software. We had outsourced some of those pieces. So you know that that that trend we've been talking about for a number of years is kind of everyone's a software company, Um, does not mean that, you know, we're getting rid of the old business models. But Shannon, there are challenges there either expanding and moving faster or, you know, making sure that I have the talent in house. So bring us inside. What if some of the big things that your customers are telling you, uh, maybe that's holding them back from unlocking that central? >>Yeah, totally. You hit on a couple of them, you know, we're definitely seeing a lot of interest in adoption of kubernetes and clearly VM Ware is leading the way with Changzhou. But we're also hearing that they're underestimating the challenges on how toe quote unquote get to kubernetes. Right? How do you stand up that full cloud native staff and particularly at scale Thio? How do you manage the ongoing operations and maintain that infrastructure? How do you support the various stakeholders? How do you bring I t operators and developers together? Eso There's really a wide range of challenges that, um businesses air facing. And the other thing is that you hit on, you know, they're going to be producing mawr and Mawr cloud native applications, but they still need to maintain legacy applications, many of which are driving business, critical applications and workloads. So they're going to need to look for solutions that help them manage both and allow them to re factor or retire those legacy ones at their own pace so they can maintain business continuity. >>Yeah, and of course, Shannon, we know as infrastructure people, our job was always toe, you know, give the environment to allow the applications to run in virtualization. For years, it was Well, I knew if I virtualized something, I could leave it there and it wasn't going to. It didn't have to worry about the underlying hardware changes. Help us understand How does kubernetes fit into this environment? Because, as I said that people don't want to even worry about it. And the infrastructure people now need to be able to change, expand and, you know, respond to the business so much faster than we might have in times past. >>Yeah, so from an infrastructure perspective, working with VM ware based on tons of really the essence of that is to bring I t operators and developers together. The infrastructure has a common set of management that, you know, each the developer and the I t operators can work in the language there most familiar with. And, you know, the communication of the translation all happens within Tan Xue so that they're more speaking the same, um, language when it comes Thio, you know, managing the infrastructure in particular with VM ware tansy on VX rail. We are delivering kind of a range of infrastructure options because we know people are still trying to figure out you know, where they are in their kubernetes readiness path. Some people have really developed mature capabilities in house for who were Netease for software defined networking. And for those customers, they still may want Thio. You know, use a reference architecture er and build on top of the ex rail for, you know, a custom cloud native specific application. What we're finding is more and more customers, though, don't have that level of kubernetes expertise, especially at scale. And so VM ware v sphere with Tan Xue on VX rail as well as via more cloud foundation on VX rail are ways Thio get a fast start on kubernetes with directly on these fair or kind of go with the full Monty of VM or Cloud Foundation on VX rail. >>Well, we're bringing up VX rail. Of course. The whole wave of h C I was How do we enable simplicity? We don't wanna have to think about these. We wanna, uh, just make it so that customers can just buy a solution. Of course. VX rail joint solution, you know, heavily partnership with VM ware. So, Shannon, there's a few options. VM has been moving very fast toe expand out that the into portfolio, uh, back at the beginning of the year when the sphere seven came out. You needed the BMR Cloud Foundation. Which, of course, what was an option for for for the VX rail. So help us understand you laid out a little bit some of those options there. But what should I know as Adele customer, Uh, you know what my options are? How the fault Kansas Wheat fits into it. >>Yeah, eso We like to call it kubernetes your way with the ex rail. So we have a range of options to fit your operational or kubernetes scale requirements or your level of expertise. So the three options, our first for customers that are looking for that tested, validated, multi configuration reference architectures er that will deliver platform as a service or containers is a service. We've got Tom to architecture for VX rail, which is a new name for what was known as pivot already architecture er and then for customers that may have minimum scaling requirements. They may have some of that expertise in house to manage at scale. The fastest path to get started with kubernetes is the new VM ware V sphere with Changzhou on VX rail. And then last I mentioned kind of that full highly automated turnkey on promises Cloud platform. That's the VM, or Cloud Foundation, on VX rail, which is also known as Dell Technologies Cloud Platform. And that option supports Tan Xue with software defined networking and security built in with that automated lifecycle management across the full stack. So there's really three paths to it from a reference architecture approach to a fast path on the actual clusters all the way to the full Deltek Cloud platform. And Dell Technologies is the first and only really offering this breath of tans. You infrastructure deployment options. Eso customers can really, uh, choose the best path for them. >>Yeah, So, Shannon, if if I If I think back to what we saw in the keynote, you know, VM Ware lays out there, they're hybrid and multi cloud solution. So of course they're they're public cloud the VM ware cloud on a W s. They have that solution. They have extended extended partnerships. Now, with azure uh, the the the offering with Oracle. Uh, that's coming, and I guess I could think to just think of the delta cloud on VX rail as just one of those other clouds in that hybrid and multi cloud solutions. Do I have that right? Same stack. Same management. If I'm if I'm living in that VM world world. >>Yeah. So the Deltek Cloud platform is an on premises hybrid cloud. So, you know, ah, lot of customers were looking to reduce complexity really quickly especially, you know, with some of the work from home initiatives that were sprung upon us and trying to pivot, um to respond to that. And, you know, the answer to solving some of that complexity is to jump into public cloud. What we found is a lot of customers actually are driving a hybrid cloud strategy and approach. And we know many customers sort of have that executive mandate. There's value in, um, driving that are on prem hybrid cloud approach. And that's what Dell Technologies Cloud platform is. So you get the consistent operations in the consistent infrastructure and more of the public cloud like consumption experience while having the infrastructure on Prem for security data locality. Other, um, you know, cost reasons like that. Eso That's really where VM or Cloud Foundation on VF Trail comes into play eso leveraging the VM ware technologies you have on Prem Hybrid cloud. It can connect all those public cloud providers that you talked about. So you have, you know, core to cloud on Dwan. Of the new capabilities that VM or Cloud Foundation, is announced support for is remote clusters. So that takes us kind of from cloud all the way toe edge because you now have the same VCF operational capabilities and operational efficiency with centralized management for remote locations. >>Wonderful. I'm glad you brought up the edge piece. Of course, you talk to the emerging space vm ware talking about ai talking about EJ, so help us understand. How much is it? The similar operational model? Is it even eyes that part of the VX rail family? What's the What's the state of the state in 2020 when it comes to how edge fits into that cloud core edge discussion that you just raised? >>Yeah, when you look at trends, especially for hyper converged edge and cloud native are kind of taking up a lot of the airwaves right now. Eso hyper converge is gonna play a big role in Theodore option of both cloud native Band Edge. And I think the intersection of those two comes into play with things like the remote cluster support for VM Ware Cloud Foundation on VX rail, where you can run cloud, you know, cloud native based modern applications with Tan Xue alongside traditional workloads at the edge, which traditionally have more stringent requirements. Less resource is maybe they need a more hardened environment, power and cooling, you know, um, constraints. So with VCF on VX rail, you have all the operational goodness that comes from the partnership in the levels of integration that we have with VM Ware. And customers can sort of realize that promise of full workload management mobility in a true hybrid cloud environment. >>Shannon I'm wondering what general feedback you're getting from your customers is as they look at a zoo, said these cloud native solutions. You know what's what's the big take away? Is this a continuation of the HD I wave that you've seen? Do they just pull this into their hybrid environments? Um, I'm wondering if you have any either any specific examples that you've been anonymized or just the general gestalt that you're getting from your customers. Is that how they're doing expanding, uh, into these, you know, new environments that kind of stretch them in different ways. >>Yeah, it's interesting because you know, there's there's customers that run the gamut when we look at those that are sort of the farther down their digital transformation journey. Those are the ones that were already planning for cloud native applications or had some in development. Uh, there's also some trends that we're seeing based on, you know, the the size of cluster deployments and the range of, you know, various configurations that are an indicator of those customers that are more modernized in terms of their approach to cloud native. And what we find from those customers, especially over the last six months, is that they're more prepared to respond to the unknown on bond. That was a big lesson for some of the other customers that you know, had new. The digital transformation was the way of the future, but hadn't yet sort of come up with a strategy on how to get there themselves were finding those customers are inhibiting their investments to areas that can help them be more ready for the unknown in the future. In Cloud native is top of that list. >>Absolutely. Shannon Day Volante showed a few times There's the people in the office, you know, with their white board doing everything. And there's the wrecking ball of covert 19. Kind of like Well, if you weren't ready and you weren't already down this path, you better move fast. Wonderful. All right, Shannon. So we know, uh, from past years, you know, VX rail. Usually it's all over the show. So in the digital world, what do you want to he takeaways. What are some of the key? You know, hands on demos, sessions that that people should check out. >>Thank you. Yeah. So hopefully your take away is that the X ray is a great infrastructure to support modern applications. First and foremost, we have, you know, a jointly engineered system built with VM ware, four VM ware environments to enhance fam. Where, and we do that with our the extra LHC I system software, which I didn't give a shout out to yet, which extends that native capabilities and really is the secret behind how we do seamless automated operational experience with the ex rail. And that's the case, whether it's traditional or modern applications. So that's my little commercial for VX rail at the show. Please tune into our VM World session on this topic. We also have hands on labs. We are launching a fun augmented reality game. Eso Please check that out on. We have a new Web page as well that you could get access to all the latest assets and guides that help you, you know, navigate your journey for cloud native. And that's at dell technologies dot com slash Hangzhou. >>Wonderful. Well, Shannon Champion, thanks so much. Great to see you again. And be short. Uh, we look forward to hearing more in the future. >>Thanks to >>stay with us. Lots more coverage from VM World 2020. I'm stew. Minimum is always thank you for watching the Cube.

>>from around the globe. It's the Cube with digital coverage of VM World 2020 brought to you by VM Ware and its ecosystem partners. Hello and welcome back to the cubes. Virtual coverage of VM World 2020 Virtual I'm John for your host of the Cube, our 11th year covering V emeralds. Not in person. It's virtual. I'm with my coast, Dave. A lot, of course. Ah, guest has been on every year since the cubes existed. Sanjay Putin, who is now the chief operating officer for VM Ware Sanjay, Great to see you. It's our 11th years. Virtual. We're not in person. Usually high five are going around. But hey, virtual fist pump, >>virtual pissed bump to you, John and Dave, always a pleasure to talk to you. I give you more than a virtual pistol. Here's a virtual hug. >>Well, so >>great. Back at great. >>Great to have you on. First of all, a lot more people attending the emerald this year because it's virtual again, it doesn't have the face to face. It is a community and technical events, so people do value that face to face. Um, but it is virtually a ton of content, great guests. You guys have a great program here, Very customer centric. Kind of. The theme is, you know, unpredictable future eyes is really what it's all about. We've talked about covert you've been on before. What's going on in your perspective? What's the theme of your main talks? >>Ah, yeah. Thank you, John. It's always a pleasure to talk to you folks. We we felt as we thought, about how we could make this content dynamic. We always want to make it fresh. You know, a virtual show of this kind and program of this kind. We all are becoming experts at many Ted talks or ESPN. Whatever your favorite program is 60 minutes on becoming digital producers of content. So it has to be crisp, and everybody I think was doing this has found ways by which you reduce the content. You know, Pat and I would have normally given 90 minute keynotes on day one and then 90 minutes again on day two. So 180 minutes worth of content were reduced that now into something that is that entire 180 minutes in something that is but 60 minutes. You you get a chance to use as you've seen from the keynote an incredible, incredible, you know, packed array of both announcements from Pat myself. So we really thought about how we could organize this in a way where the content was clear, crisp and compelling. Thekla's piece of it needed also be concise, but then supplemented with hundreds of sessions that were as often as possible, made it a goal that if you're gonna do a break out session that has to be incorporate or lead with the customer, so you'll see not just that we have some incredible sea level speakers from customers that have featured in in our pattern, Mikey notes like John Donahoe, CEO of Nike or Lorry beer C I, a global sea of JPMorgan Chase partner Baba, who is CEO of Zuma Jensen Wang, who is CEO of video. Incredible people. Then we also had some luminaries. We're gonna be talking in our vision track people like in the annuity. I mean, one of the most powerful women the world many years ranked by Fortune magazine, chairman, CEO Pepsi or Bryan Stevenson, the person who start in just mercy. If you watch that movie, he's a really key fighter for social justice and criminal. You know, reform and jails and the incarceration systems. And Malala made an appearance. Do I asked her personally, I got to know her and her dad's and she spoke two years ago. I asked her toe making appearance with us. So it's a really, really exciting until we get to do some creative stuff in terms of digital content this year. >>So on the product side and the momentum side, you have great decisions you guys have made in the past. We covered that with Pat Gelsinger, but the business performance has been very strong with VM. Where, uh, props to you guys, Where does this all tie together for in your mind? Because you have the transformation going on in a highly accelerated rate. You know, cov were not in person, but Cove in 19 has proven, uh, customers that they have to move faster. It's a highly accelerated world, a lot. Lots changing. Multi cloud has been on the radar. You got security. All the things you guys are doing, you got the AI announcements that have been pumping. Thean video thing was pretty solid. That project Monterey. What does the customer walk away from this year and and with VM where? What is the main theme? What what's their call to action? What's what do they need to be doing? >>I think there's sort of three things we would encourage customers to really think about. Number one is, as they think about everything in infrastructure, serves APS as they think about their APS. We want them to really push the frontier of how they modernize their athletic applications. And we think that whole initiative off how you modernized applications driven by containers. You know, 20 years ago when I was a developer coming out of college C, C plus, plus Java and then emerge, these companies have worked on J two ee frameworks. Web Logic, Be Aware logic and IBM Web Street. It made the development off. Whatever is e commerce applications of portals? Whatever was in the late nineties, early two thousands much, much easier. That entire world has gotten even easier and much more Micro service based now with containers. We've been talking about kubernetes for a while, but now we've become the leading enterprise, contain a platform making some incredible investments, but we want to not just broaden this platform. We simplified. It is You've heard everything in the end. What works in threes, right? It's sort of like almost t shirt sizing small, medium, large. So we now have tens Ooh, in the standard. The advanced the enterprise editions with lots of packaging behind that. That makes it a very broad and deep platform. We also have a basic version of it. So in some sense it's sort of like an extra small. In addition to the small medium large so tends to and everything around at modernization, I think would be message number one number two alongside modernization. You're also thinking about migration of your workloads and the breadth and depth of, um, er Cloud Foundation now of being able to really solve, not just use cases, you are traditionally done, but also new ai use cases. Was the reason Jensen and us kind of partner that, and I mean what a great company and video has become. You know, the king maker of these ai driven applications? Why not run those AI applications on the best infrastructure on the planet? Remember, that's a coming together of both of our platforms to help customers. You know automotive banking fraud detection is a number of AI use cases that now get our best and we want it. And the same thing then applies to Project Monterey, which takes the B c f e m A Cloud Foundation proposition to smart Knicks on Dell, HP Lenovo are embracing the in video Intel's and Pen Sandoz in that smart make architectural, however, that so that entire world of multi cloud being operative Phobia Macleod Foundation on Prem and all of its extended use cases like AI or Smart Knicks or Edge, but then also into the AWS Azure, Google Multi Cloud world. We obviously had a preferred relationship with Amazon that's going incredibly well, but you also saw some announcements last week from, uh, Microsoft Azure about azure BMR solutions at their conference ignite. So we feel very good about the migration opportunity alongside of modernization on the third priority, gentlemen would be security. It's obviously a topic that I most recently taken uninterested in my day job is CEO of the company running the front office customer facing revenue functions by night job by Joe Coffin has been driving. The security strategy for the company has been incredibly enlightening to talk, to see SOS and drive this intrinsic security or zero trust from the network to end point and workload and cloud security. And we made some exciting announcements there around bringing together MAWR capabilities with NSX and Z scaler and a problem black and workload security. And of course, Lassiter wouldn't cover all of this. But I would say if I was a attendee of the conference those the three things I want them to take away what BMR is doing in the future of APS what you're doing, the future of a multi cloud world and how we're making security relevant for distributed workforce. >>I know David >>so much to talk about here, Sanjay. So, uh, talk about modern APS? That's one of the five franchise platforms VM Ware has a history of going from, you know, Challenger toe dominant player. You saw that with end user computing, and there's many, many other examples, so you are clearly one of the top, you know. Let's call it five or six platforms out there. We know what those are, uh, and but critical to that modern APS. Focus is developers, and I think it's fair to say that that's not your wheelhouse today, but you're making moves there. You agree that that is, that is a critical part of modern APS, and you update us on what you're doing for that community to really take a leadership position there. >>Yeah, no, I think it's a very good point, David. We way seek to constantly say humble and hungry. There's never any assumption from us that VM Ware is completely earned anyplace off rightful leadership until we get thousands, tens of thousands. You know, we have a half a million customers running on our virtualization sets of products that have made us successful for 20 years 70 million virtual machines. But we have toe earn that right and containers, and I think there will be probably 10 times as many containers is their virtual machines. So if it took us 20 years to not just become the leader in in virtual machines but have 70 million virtual machines, I don't think it will be 20 years before there's a billion containers and we seek to be the leader in that platform. Now, why, Why VM Where and why do you think we can win in their long term. What are we doing with developers Number one? We do think there is a container capability independent of virtual machine. And that's what you know, this entire world of what hefty on pivotal brought to us on. You know, many of the hundreds of customers that are using what was formerly pivotal and FDR now what's called Tan Xue have I mean the the case. Studies of what those customers are doing are absolutely incredible. When I listen to them, you take Dick's sporting goods. I mean, they are building curbside, pick up a lot of the world. Now the pandemic is doing e commerce and curbside pick up people are going to the store, That's all based on Tan Xue. We've had companies within this sort of world of pandemic working on contact, tracing app. Some of the diagnostic tools built without they were the lab services and on the 10 zoo platform banks. Large banks are increasingly standardizing on a lot of their consumer facing or wealth management type of applications, anything that they're building rapidly on this container platform. So it's incredible the use cases I'm hearing public sector. The U. S. Air Force was talking about how they've done this. Many of them are not public about how they're modernizing dams, and I tend to learn the best from these vertical use case studies. I mean, I spend a significant part of my life is you know, it s a P and increasingly I want to help the company become a lot more vertical. Use case in banking, public sector, telco manufacturing, CPG retail top four or five where we're seeing a lot of recurrence of these. The Tan Xue portfolio actually brings us closest to almost that s a P type of dialogue because we're having an apse dialogue in the in the speak of an industry as opposed to bits and bytes Notice I haven't talked at all about kubernetes or containers. I'm talking about the business problem being solved in a retailer or a bank or public sector or whatever have you now from a developer audience, which was the second part of your question? Dave, you know, we talked about this, I think a year or two ago. We have five million developers today that we've been able to, you know, as bringing these acquisitions earn some audience with about two or three million from from the spring community and two or three million from the economic community. So think of those five million people who don't know us because of two acquisitions we don't. Obviously spring was inside Vienna where went out of pivotal and then came back. So we really have spent a lot of time with that community. A few weeks ago, we had spring one. You guys are aware of that? That conference record number of attendees okay, Registered, I think of all 40 or 50,000, which is, you know, much bigger than the physical event. And then a substantial number of them attended live physical. So we saw a great momentum out of spring one, and we're really going to take care of that, That that community base of developers as they care about Java Manami also doing really, really well. But then I think the rial audience it now has to come from us becoming part of the conversation. That coupon at AWS re invent at ignite not just the world, I mean via world is not gonna be the only place where infrastructure and developers come to. We're gonna have to be at other events which are very prominent and then have a developer marketplace. So it's gonna be a multiyear effort. We're okay with that. To grow that group of about five million developers that we today Kate or two on then I think there will be three or four other companies that also play very prominently to developers AWS, Microsoft and Google. And if we're one among those three or four companies and remembers including that list, we feel very good about our ability to be in a place where this is a shared community, takes a village to approach and an appeal to those developers. I think there will be one of those four companies that's doing this for many years to >>come. Santa, I got to get your take on. I love your reference to the Web days and how the development environment change and how the simplicity came along very relevant to how we're seeing this digital transformation. But I want to get your thoughts on how you guys were doing pre and now during and Post Cove it. You already had a complicated thing coming on. You had multi cloud. You guys were expanding your into end you had acquisitions, you mentioned a few of them. And then cove it hit. Okay, so now you have Everything is changing you got. He's got more complex city. You have more solutions, and then the customer psychology is change. You got to spectrums of customers, people trying to save their business because it's changed, their customer behavior has changed. And you have other customers that are doubling down because they have a tailwind from Cove it, whether it's a modern app, you know, coming like Zoom and others are doing well because of the environment. So you got your customers air in this in this in this, in this storm, you know, they're trying to save down, modernized or or or go faster. How are you guys changing? Because it's impacted how you sell. People are selling differently, how you implement and how you support customers, because you already had kind of the whole multi cloud going on with the modern APS. I get that, but Cove, it has changed things. How are you guys adopting and changing to meet the customer needs who are just trying to save their business on re factor or double down and continue >>John. Great question. I think I also talked about some of this in one of your previous digital events that you and I talked about. I mean, you go back to the last week of February 1st week of March, actually back up, even in January, my last trip on a plane. Ah, major trip outside this country was the World Economic Forum in Davos. And, you know, there were thousands of us packed into the small digits in Switzerland. I was sitting having dinner with Andy Jassy in a restaurant one night that day. Little did we know. A month later, everything would change on DWhite. We began to do in late February. Early March was first. Take care of employees. You always wanna have the pulse, check employees and be in touch with them. Because the health and safety of employees is much more important than the profits of, um, where you know. So we took care of that. Make sure that folks were taking care of older parents were in good place. We fortunately not lost anyone to death. Covert. We had some covert cases, but they've recovered on. This is an incredible pandemic that connects all of us in the human fabric. It has no separation off skin color or ethnicity or gender, a little bit of difference in people who are older, who might be more affected or prone to it. But we just have to, and it's taught me to be a significantly more empathetic. I began to do certain things that I didn't do before, but I felt was the right thing to do. For example, I've begun to do 25 30 minute calls with every one of my key countries. You know, as I know you, I run customer operations, all of the go to market field teams reporting to me on. I felt it was important for me to be showing up, not just in the big company meetings. We do that and big town halls where you know, some fractions. 30,000 people of VM ware attend, but, you know, go on, do a town hall for everybody in a virtual zoom session in Japan. But in their time zone. So 10 o'clock my time in the night, uh, then do one in China and Australia kind of almost travel around the world virtually, and it's not long calls 25 30 minutes, where 1st 10 or 15 minutes I'm sharing with them what I'm seeing across other countries, the world encouraging them to focus on a few priorities, which I'll talk about in a second and then listening to them for 10 15 minutes and be, uh and then the call on time or maybe even a little earlier, because every one of us is going to resume button going from call to call the call. We're tired of T. There's also mental, you know, fatigue that we've gotta worry about. Mental well, being long term. So that's one that I personally began to change. I began to also get energy because in the past, you know, I would travel to Europe or Asia. You know, 40 50%. My life has travel. It takes a day out of your life on either end, your jet lag. And then even when you get to a Tokyo or Beijing or to Bangalore or the London, getting between sites of these customers is like a 45 minute, sometimes in our commute. Now I'm able to do many of these 25 30 minute call, so I set myself a goal to talk to 1000 chief security officers. I know a lot of CEOs and CFOs from my times at S A P and VM ware, but I didn't know many security officers who often either work for a CEO or report directly to the legal counsel on accountable to the audit committee of the board. And I got a list of these 1,002,000 people we called email them. Man, I gotta tell you, people willing to talk to me just coming, you know, into this I'm about 500 into that. And it was role modeling to my teams that the top of the company is willing to spend as much time as possible. And I have probably gotten a lot more productive in customer conversations now than ever before. And then the final piece of your question, which is what do we tell the customer in terms about portfolio? So these were just more the practices that I was able to adapt during this time that have given me energy on dial, kind of get scared of two things from the portfolio perspective. I think we began to don't notice two things. One is Theo entire move of migration and modernization around the cloud. I describe that as you know, for example, moving to Amazon is a migration opportunity to azure modernization. Is that whole Tan Xue Eminem? Migration of modernization is highly relevant right now. In fact, taking more speed data center spending might be on hold on freeze as people kind of holding till depend, emmick or the GDP recovers. But migration of modernization is accelerating, so we wanna accelerate that part of our portfolio. One of the products we have a cloud on Amazon or Cloud Health or Tan Xue and maybe the other offerings for the other public dog. The second part about portfolio that we're seeing acceleration around is distributed workforce security work from home work from anywhere. And that's that combination off workspace, one for both endpoint management, virtual desktops, common black envelope loud and the announcements we've now made with Z scaler for, uh, distributed work for security or what the analysts called secure access. So message. That's beautiful because everyone working from home, even if they come back to the office, needs a very different model of security and were now becoming a leader in that area. of security. So these two parts of the portfolio you take the five franchise pillars and put them into these two buckets. We began to see momentum. And the final thing, I would say, Guys, just on a soft note. You know, I've had to just think about ways in which I balance work and family. It's just really easy. You know what, 67 months into this pandemic to burn out? Ah, now I've encouraged my team. We've got to think about this as a marathon, not a sprint. Do the personal things that you wanna do that will make your life better through this pandemic. That in practice is that you keep after it. I'll give you one example. I began biking with my kids and during the summer months were able to bike later. Even now in the fall, we're able to do that often, and I hope that's a practice I'm able to do much more often, even after the pandemic. So develop some activities with your family or with the people that you love the most that are seeing you a lot more and hopefully enjoying that time with them that you will keep even after this pandemic ends. >>So, Sanjay, I love that you're spending all this time with CSOs. I mean, I have a Well, maybe not not 1000 but dozens. And they're such smart people. They're really, you know, in the thick of things you mentioned, you know, your partnership with the scale ahead. Scott Stricklin on who is the C. C so of Wyndham? He was talking about the security club. But since the pandemic, there's really three waves. There's the cloud security, the identity, access management and endpoint security. And one of the things that CSOs will tell you is the lack of talent is their biggest challenge. And they're drowning in all these products. And so how should we think about your approach to security and potentially simplifying their lives? >>Yeah. You know, Dave, we talked about this, I think last year, maybe the year before, and what we were trying to do in security was really simplified because the security industry is like 5000 vendors, and it's like, you know, going to a doctor and she tells you to stay healthy. You gotta have 5000 tablets. You just cannot eat that many tablets you take you days, weeks, maybe a month to eat that many tablets. So ah, grand simplification has to happen where that health becomes part of your diet. You eat your proteins and vegetables, you drink your water, do your exercise. And the analogy and security is we cannot deploy dozens of agents and hundreds of alerts and many, many consoles. Uh, infrastructure players like us that have control points. We have 70 million virtual machines. We have 75 million virtual switches. We have, you know, tens of million's off workspace, one of carbon black endpoints that we manage and secure its incumbent enough to take security and making a lot more part of the infrastructure. Reduce the need for dozens and dozens of point tools. And with that comes a grand simplification of both the labor involved in learning all these tools. Andi, eventually also the cost of ownership off those particular tool. So that's one other thing we're seeking to do is increasingly be apart off that education off security professionals were both investing in ah, lot of off, you know, kind of threat protection research on many of our folks you know who are in a threat. Behavioral analytics, you know, kind of thread research. And people have come out of deep hacking experience with the government and others give back to the community and teaching classes. Um, in universities, there are a couple of non profits that are really investing in security, transfer education off CSOs and their teams were contributing to that from the standpoint off the ways in which we can give back both in time talent and also a treasure. So I think is we think about this. You're going to see us making this a long term play. We have a billion dollar security business today. There's not many companies that have, you know, a billion dollar plus of security is probably just two or three, and some of them have hit a wall in terms of their progress sport. We want to be one of the leaders in cybersecurity, and we think we need to do this both in building great product satisfying customers. But then also investing in the learning, the training enable remember, one of the things of B M worlds bright is thes hands on labs and all the training enable that happened at this event. So we will use both our platform. We in world in a variety of about the virtual environments to ensure that we get the best education of security to professional. >>So >>that's gonna be exciting, Because if you look at some of the evaluations of some of the pure plays I mean, you're a cloud security business growing a triple digits and, you know, you see some of these guys with, you know, $30 billion valuations, But I wanted to ask you about the market, E v m. Where used to be so simple Right now, you guys have expanded your tam dramatically. How are you thinking about, you know, the market opportunity? You've got your five franchise platforms. I know you're very disciplined about identifying markets, and then, you know, saying, Okay, now we're gonna go compete. But how do you look at the market and the market data? Give us the update there. >>Yeah, I think. Dave, listen, you know, I like davinci statement. You know, simplicity is the greatest form of sophistication, and I think you've touched on something that which is cos we get bigger. You know, I've had the great privilege of working for two great companies. s a P and B M where the bulk of my last 15 plus years And if something I've learned, you know, it's very easy. Both companies was to throw these TLS three letter acronyms, okay? And I use an acronym and describing the three letter acronyms like er or s ex. I mean, they're all acronyms and a new employee who comes to this company. You know, Carol Property, for example. We just hired her from Google. Is our CMO her first comments like, My goodness, there is a lot of off acronyms here. I've gotta you need a glossary? I had the same reaction when I joined B. M or seven years ago and had the same reaction when I joined the S A. P 15 years ago. Now, of course, two or three years into it, you learn everything and it becomes part of your speed. We have toe constantly. It's like an accordion like you expanded by making it mawr of luminous and deep. But as you do that it gets complex, you then have to simplify it. And that's the job of all of us leaders and I this year, just exemplifying that I don't have it perfect. One of the gifts I do have this communication being able to simplify things. I recorded a five minute video off our five franchise pill. It's just so that the casual person didn't know VM where it could understand on. Then, when I'm on your shore and when on with Jim Cramer and CNBC, I try to simplify, simplify, simplify, simplify because the more you can talk and analogies and pictures, the more the casual user. I mean, of course, and some other audiences. I'm talking to investors. Get it on. Then, Of course, as you go deeper, it should be like progressive layers or feeling of an onion. You can get deeper. It's not like the entire discussion with Sanjay Putin on my team is like, you know, empty suit. It's a superficial discussion. We could go deeper, but you don't have to begin the discussion in the bowels off that, and that's really what we don't do. And then the other part of your question was, how do we think about new markets? You know, we always start with Listen, you sort of core in contact our borough come sort of Jeffrey Moore, Andi in the Jeffrey more context. You think about things that you do really well and then ask yourself outside of that what the Jason sees that are closest to you, that your customers are asking you to advance into on that, either organically to partnerships or through acquisitions. I think John and I talked about in the previous dialogue about the framework of build partner and by, and we always think about it in that order. Where do we advance and any of the moves we've made six years ago, seven years ago and I joined the I felt VM are needed to make a move into mobile to really cement opposition in end user computing. And it took me some time to convince my peers and then the board that we should by Air One, which at that time was the biggest acquisition we've ever done. Okay. Similarly, I'm sure prior to me about Joe Tucci, Pat Nelson. We're thinking about nice here, and I'm moving to networking. Those were too big, inorganic moves. +78 years of Raghu was very involved in that. The decisions we moved to the make the move in the public cloud myself. Rgu pack very involved in the decision. Their toe partner with Amazon, the change and divest be cloud air and then invested in organic effort around what's become the Claudia. That's an organic effort that was an acquisition fast forward to last year. It took me a while to really Are you internally convinced people and then make the move off the second biggest acquisition we made in carbon black and endpoint security cement the security story that we're talking about? Rgu did a similar piece of good work around ad monetization to justify that pivotal needed to come back in. So but you could see all these pieces being adjacent to the core, right? And then you ask yourself, Is that context meaning we could leave it to a partner like you don't see us get into the hardware game we're partnering with. Obviously, the players like Dell and HP, Lenovo and the smart Knick players like Intel in video. In Pensando, you see that as part of the Project Monterey announcement. But the adjacent seas, for example, last year into app modernization up the stack and into security, which I'd say Maura's adjacent horizontal to us. We're now made a lot more logical. And as we then convince ourselves that we could do it, convince our board, make the move, We then have to go and tell our customers. Right? And this entire effort of talking to CSOs What am I doing is doing the same thing that I did to my board last year, simplified to 15 minutes and get thousands of them to understand it. Received feedback, improve it, invest further. And actually, some of the moves were now making this year around our partnership in distributed Workforce Security and Cloud Security and Z scaler. What we're announcing an XDR and Security Analytics. All of the big announcements of security of this conference came from what we heard last year between the last 12 months of my last year. Well, you know, keynote around security, and now, and I predict next year it'll be even further. That's how you advance the puck every year. >>Sanjay, I want to get your thoughts. So now we have a couple minutes left. But we did pull the audience and the community to get some questions for you, since it's virtually wanted to get some representation there. So I got three questions for you. First question, what comes after Cloud and number two is VM Ware security company. And three. What company had you wish you had acquired? >>Oh, my goodness. Okay, the third one eyes gonna be the turkey is one, I think. Listen, because I'm gonna give you my personal opinion, and some of it was probably predates me, so I could probably safely So do that. And maybe put the blame on Joe Tucci or somebody else is no longer here. But let me kind of give you the first two. What comes after cloud? I think clouds gonna be with us for a long time. First off this multi cloud world, you just look at the moment, um, that AWS and azure and the other clouds all have. It's incredible on I think this that multi cloud from phenomenon. But if there's an adapt ation of it, it's gonna be three forms of cloud. People are really only focus today in private public cloud. You have to remember the edge and Telco Cloud and this pendulum off the right balance of workloads between the data center called it a private cloud. The public cloud on one end and the telco edge on the other end. I think we're in a really good position for workloads to really swing between all three of those locations. Three other part that I think comes as a sequel to Cloud is cloud native. All of the capabilities a serverless functions but also containers that you know. Obviously the one could think of that a sister topics to cloud but the entire world of containers. The other seat, uh, then cloud a cloud native will also be topics, but these were all fairly connected. That's how I'd answer the first question. A security company? Absolutely. We you know, we aspire to be one of the leading companies in cyber security. I don't think they will be only one. We have to show this by the wealth on breath of our customers. The revenue momentum we have Gartner ranking us or the analysts ranking us in top rights of magic quadrants being viewed as an innovator simplifying the stack. But listen, we weren't even on the radar. We weren't speaking of the security conferences years ago. Now we are. We have a billion dollar security business, 20,000 plus customers, really strong presences and network endpoint and workload and Cloud Security. The three Coppola's a lot more coming in Security analytics, Cloud Security distributed workforce Security. So we're here to stay. And if anything, BMR persist through this, we're planning for multi your five or 10 year timeframe. And in that course I mean, the competition is smaller. Companies that don't have the breadth and depth of the n words are Andy muscle and are going market. We just have to keep building great products and serving customer on the third man. There's so many. But I mean, I think Listen, when I was looking back, I always wondered this is before I joined so I could say the summit speculatively on. Don't you know, make this This is BMR. Sorry. This is Sanjay one's opinion. Not VM. I gotta make very, very clear. Well, listen, I would have if I was at BMO in 2012 or 2013. I would love to about service now then service. It was a great company. I don't even know maybe the company's talk, but then talk about a very successful company at that time now. Maybe their priorities were different. I wasn't at the company at the time, but I can speculate if that had happened, that would have been an interesting Now I think that was during the time of Paul Maritz here and and so on. So for them, maybe there were other priorities the company need to get done. But at that time, of course, today s so it's not as big of a even slightly bigger market cap than us. So that's not happening. But that's a great example of a good company that I think would have at that time fit very well with VM Ware. And then there's probably we don't look back and regret we move forward. I mean, I think about the acquisitions we have made the big ones. Okay, Nice era air watch pop in black. Pivotal. The big moves we've made in terms of partnership. Amazon. What? We're announcing this This, you know, this week within video and Z scaler. So you never look back and regret. You always look for >>follow up on that To follow up on that from a developer, entrepreneurial or partner Perspective. Can you share where the white spaces for people to innovate around vm Where where where can people partner and play. Whether I'm an entrepreneur in a garage or venture back, funded or say a partner pivoting and or resetting with Govind, where's the white spaces with them? >>I think that, you know, there's gonna be a number off places where the Tan Xue platform develops, as it kind of makes it relevant to developers. I mean, there's, I think the first way we think about this is to make ourselves relevant toe all of that ecosystem around the C I. C. D type apply platform. They're really good partners of ours. They're like, get lab, You know, all of the ways in which open source communities, you know will play alongside that Hash E Corp. Jay frog there number of these companies that are partnering with us and we're excited about all of their relevancy to tend to, and it's our job to go and make that marketplace better and better. You're going to hear more about that coming up from us on. Then there's the set of data companies, you know, con fluent. You know, of course, you've seen a big I p o of a snowflake. All of those data companies, we'll need a very natural synergy. If you think about the old days of middleware, middleware is always sort of separate from the database. I think that's starting to kind of coalesce. And Data and analytics placed on top of the modern day middleware, which is containers I think it's gonna be now does VM or play physically is a data company. We don't know today we're gonna partner very heavily. But picking the right set of partners been fluent is a good example of one on. There's many of the next generation database companies that you're going to see us partner with that will become part of that marketplace influence. And I think, as you see us certainly produce out the VM Ware marketplace for developers. I think this is gonna be a game changing opportunity for us to really take those five million developers and work with the leading companies. You know, I use the example of get Lab is an example get help there. Others that appeal to developers tie them into our developer framework. The one thing you learn about developers, you can't have a mindset. With that, you all come to just us. It's a very mingled village off multiple ecosystems and Venn diagrams that are coalescing. If you try to take over the world, the developer community just basically shuns you. You have to have a very vibrant way in which you are mingling, which is why I described. It's like, Listen, we want our developers to come to our conferences and reinvent and ignite and get the best experience of all those provide tools that coincide with everybody. You have to take a holistic view of this on if you do that over many years, just like the security topic. This is a multi year pursuit for us to be relevant. Developers. We feel good about the future being bright. >>David got five minutes e. >>I thought you were gonna say Zoom, Sanjay, that was That was my wildcard. >>Well, listen, you know, I think it was more recently and very fast catapult Thio success, and I don't know that that's clearly in the complete, you know, sweet spot of the anywhere. I mean, you know, unified collaboration would have probably put us in much more competition with teams and, well, back someone you always have to think about what's in the in the bailiwick of what's closest to us, but zooms a great partner. Uh, I mean, obviously you love to acquire anybody that's hot, but Eric's doing really well. I mean, Erica, I'm sure he had many people try to come to buy him. I'm just so proud of him as a friend of all that he was named to Time magazine Top 100. But what he's done is phenomenon. I think he could build a company that's just his important, his Facebook. So, you know, I encourage him. Don't sell, keep building the company and you'll build a company that's going to be, you know, the enterprise version of Facebook. And I think that's a tremendous opportunity to do this better than anybody else is doing. And you know, I'm as an immigrant. He's, you know, China. Born now American, I'm Indian born, American, assim immigrants. We both have a similar story. I learned a lot from him. I learned a lot from him, from on speed on speed and how to move fast, he tells me he learns a thing to do for me on scale. We teach each other. It's a beautiful friendship. >>We'll make sure you put in a good word for the Kiwi. One more zoom integration >>for a final word or the zoom that is the future Facebook of the enterprise. Whatever, Sanjay, Thank >>you for connecting with us. Virtually. It is a digital foundation. It is an unpredictable world. Um, it's gonna change. It could be software to find the operating models or changing you guys. We're changing how you serve customers with new chief up commercial customer officer you have in place, which is a new hire. Congratulations. And you guys were flexing with the market and you got a tailwind. So congratulations, >>John and Dave. Always a pleasure. We couldn't do this without the partnership. Also with you. Congratulations of Successful Cube. And in its new digital format, Thank you for being with us With VM world here on. Do you know all that you're doing to get the story out? The guests that you have on the show, they look forward, including the nonviable people like, Hey, can I get on the Cuban like, Absolutely. Because they look at your platform is away. I'm telling this story. Thanks for all you're doing. I wish you health and safety. >>I'm gonna bring more community. And Dave is, you know, and Sanjay, and it's easier without the travel. Get more interviews, tell more stories and tell the most important stories. And thank you for telling your story and VM World story here of the emerald 2020. Sanjay Poon in the chief operating officer here on the Cube I'm John for a day Volonte. Thanks for watching Cube Virtual. Thanks for watching.

>>from around the globe. It's the Cube with digital coverage of VM World 2020 brought to you by VM Ware and its ecosystem partners. Welcome back. I'm stew Minuteman, and this is we've actually reached the end of the cubes coverage of VM World 2020. Hard to believe. 11 years we've done lots of interviews here has been great to be able to engage with the audience talk, talk to the executives, talk some customers, but saving one more for you. So happy to welcome to the program is the first time on the Cube. But we've been talking to him since they came out of stealth. So I have the co founder and CEO of Minhai. Oh, and that is a non Babu Harry Asami A B. So nice to see you. Thanks so much for joining us. Thank >>you too. Thank you for having me on the show. >>Alright. So we love when we get to talk to the founders of companies were gonna dig into your company. But before we do just frame for us, you're not really high performance. I Oh, I oh, is in the name of your company. Um, men might make me think that there's some miniaturization, but give us the VM Ware connection. Obviously, VM Ware talked a lot about Cloud this week. They've talked about going deep into a I and computing. So we know this ecosystem has changed a lot in the 11 years that we've been covering it. Tell us how you and your company high end >>sounds good. Yeah. So men in many of those stands for minimalism right somehow in the enterprise like it has always been like shiny, heavy, complex things, find complex solutions to simple problems and charge them a lot. That has been the trend in the past, right? That's what Cloud has recent in the Enterprise and men on mini Iot is actually about solving that data storage problem. A very large scale. And the solution is like find simple solutions to complex problems. And we grew in the cloud in the both in the public and Private Cloud, and we are now the fastest growing object storage for the private cloud. And now we, um, we're coming into the government, the territory we actually CVM where is set to lead the kubernetes race. And in the Cooper Natives, if you look for an object storage pretty much, many ways standard. And this is where we bring our ecosystem toe. Be aware. And we, um where brings the enterprise market of cloud And this is the start off the private cloud. In the long run, I think public and private cloud will look alike. >>Yeah, absolutely. We've We've been writing about this for for for for many years a b We saw the enterprises taking on more of the characteristics of the hyper scholars, the hyper scholars. Of course, they're coming more to the enterprise. Ah, lot of discussion about hybrid and multi cloud these days. But what I want you to explain a little bit when? When When when your company was formed. You talk about, you know, doing these kubernetes environment. You do partner with AWS and azure, but ah, lot of what you do is on premises and that strikes people as a little bit unconventional in the thing. Or definitely 2017 and even for 2020. So help us understand. You know what it is exactly that you know the technology bring and why you think it's the fit for if you extend making private cloud on par with public. >>Yeah, it's not surprising to us at all, but it made no sense when we started with the rest of the world, right? Even the investors like not our other investors but the typical venture community toe the rest of the world. They thought that an object storage if it is not useful inside AWS, there is no use but an object storage at all. And we our question was very simple that the amount of data the world will produce in the next 10 years bulk off the data. Where is it going to be? Right? And it's not going to be in the public cloud. And it didn't sound obvious back then, right? And we saw that in the long run, public and private cloud will look alike but bulk of the data if it's going to be generated outside AWS while AWS s three sets the standard, the rest of the world what are they going to do? So many who was raised to be the S three for the rest of the world and the rest of the world is the biggest market. And back then there was no private cloud. There was public cloud and public cloud. What meant only AWS, right? And this was not so long ago. We're talking like 56 years, right? And then soon multi cloud came from multi cloud private cloud came what really accelerated. This is basically kubernetes and containers, right? In fact, containers started the trend and then Coburn It has accelerated it further nowadays. If you if you see why it's no longer a dream, are a faith based model, right, it's actually we're we're talking about, like a $540,000. Actually, 540,000 doctors pulled a day, right? And 400 like 400 well million or so Dr Pools in aggregate. That shows that the entire industry has changed, and it's already the Coburn. It is even public or private cloud. It is the one hybrid infrastructure layer, and now it has now it's no longer private Cloud is that question right? And customers are now able to move between public and private cloud. The trend is hybrid hybrid cloud. I think it's irreversible. >>Alright, you talked about Dr Poles and the code there, so let's make sure our audience understand exactly what you are. Sounds like your software sounds like open source is a piece of it. Help us understand. You know how you fit with Because if we're talking about object storage, there's gotta be some infrastructure underneath that. What does mean I owe provide and where do you turn to the partners? >>Yeah, so just like server less, it means that it's not like there is no server, right? It's about a software problem. Similarly, storage right When store when object storage is containerized, we still need drives, right? That is where VM ware V Sand comes. Descends Job is to virtualized the physical layer toe the basically container layer. But end of the day if you see the it is a software problem and what may I would just like a database would solve the metadata data store problem. I mean, I will solve the blob data problem. And in the public, cloud object storage is the foundational piece. It is the primary storage, but we saw this as a software problem, and when customers started building these applications, they actually containerized their application and use Cooper notice to roll out their application infrastructure. And when they do that, they cannot possibly by a hardware appliance on the public cloud. And even on the on the private cloud, they when they when they completely orchestrate two containers, they cannot roll out hardware appliances. This is where the the industry the cloud native community always saw this as a software problem. It was obvious to them for the enterprise I t it was not so clear. And the storage industry giants, if you see everyone off them is a hardware appliance play, and they are in for a total shock. And we were basically as a as reset with their seven or to update one, if there is a lot of interesting things to come. >>All right, So if if I understand Here you sit from a VM Ware environment, I've got V sand underneath. I've got Tangguh above, and you're you're providing that object service in between. So for our for our friends in the in the channel market on when thinking about gear, anything that V san can sit on, you just can come along for the ride. Do I have that right? >>Yeah. So underneath the sand is basically bunch of J boards, right? These are like Dell and HP servers with the drives in them on This is not a hardware appliance anymore, right? You look at the storage market, it is. Stand our NASA plans. That is how the enterprise I t operated not in the club world. And as we and we're moves into the cloud world, everything looks cloud native and in this case, the sand. NASA plans have no role to play. Even the object storage hardware appliance has no role to play because we and we're becomes the end where Visa becomes the new block storage layer. And then they have positioned object storage database. Everything as a data data store are a data persist since layer. So only this software only the software that is contained race gets to play on top of, um, where in the new World, including the storage itself. And it's No, there is no appliance here. >>All right, so and your your solution is is listed as kubernetes kubernetes native. So now you mentioned VCR seven, VCR seven, update one Now house full kubernetes support. I'm assuming Then you can plug into tansy you you can plug into, uh, Amazon Azure. Other kubernetes options out there. Is that the case? >>Yeah, So from a customer point of view, right? If you are on the enterprise, I d. Environment Now from I t administrator point off you. Nothing changes much other than from the V Center console itself. You now get to see me, and I will in in the first suspend data services. You click and deploy entirely as a software without even learning to spell Cooper notice. You can build a private cloud storage multi tenant exactly like how public cloud storage outrage. And that is from the private cloud point a few right, and it's purely software. You're not waiting for six months, but the hardware to arrive and long procurement cycles and provisioning all that is now provisioned as a software container. In just five minutes, you can actually set up a private cloud in Prospector. That's for the private cloud, right? But why? The reason why customers want this to be a software problem is they roll out their software on the on the private cloud on the public cloud for burst, wear clothes and sustained work clothes on private cloud burst workloads on public cloud. Noncritical jobs are anything that is fast moving on, convenience based. They push it to public cloud. Customers do want tohave one leg here and one like there. And nowadays even the edge on decentralized on the from the telco space toe video on other other areas even the edges now growing toe. They want a your software solution. The entire data center software is now containerized. They can roll out Public cloud Our private cloud are on the edge On with me No, we solve the data side the compute side Then we're already has done a wonderful job on the networking side. They have done it on on the beast on the storage site dated the physical toe container layer movies. And now the data storage part is what we solved. Now what does this do to the end user? Now they can build software and truly deploy on public private our age without any modification on entirely it is a software problem. This >>great. What do you find? Or some of the more prevalent use cases, you know, sitting on top, What applications or the key ones that people are deploying your solution for >>Yeah, So in the public cloud, if you see, that's that. That's actually a good place to start if you see in the public cloud, right, starting from even simple static website hosting toe aml, big data, workloads toe. Even the modern databases like Snowflake, for example is built on object storage in the public cloud. It has become a truly horizontal play. And that is how it started right there. W started with history and then came everything else. And now that trend is beginning to percolate into the enterprise. And surprisingly, we found that the enterprise was the explosion of data. Growth is actually not about like cat videos, right? What? What are these touring? Mostly We found that bulk of the data that is drowning that crisis messing generated data. And these are basically like some kind of log data event data data streams that are continuously produced on that actually can grow from 10 terabytes to 10 petabytes in a very short time. This is where clearly object storage has become the right choice, just like in the public cloud. But customers are now adopting object storage as the primary storage and now multiple applications. Whether it is the cloud native applications in like the Hangzhou Application Service like spring boot and like all the clothes on re stack from their toe. So all the m l big data workloads pretty much everybody has been verging to object storage as there foundation. >>Yeah, absolutely. You seen some of those use cases very prevalent here in the VM Ware community. I heard you talking about it. I was expecting to hear you talk about Splunk data protection, something that's been a big topic of conversation in the last few years. Obviously, VM Ware has a number of key partners. So I'm assuming many of those air who you are also working with. >>Look, it felt good broad Splunk Splunk itself is actually is an important move that what we did recently with VM where finally we can run Splunk natively on BM where at large scale and without any performance penalty and at a price point that it becomes really attractive Now comparing Splunk Cloud, where's the Splunk on Prem? We can actually show like at least like one third off what it would cost to run on Splunk load. So I don't know Splunk themselves would like it, But I think Splunk as a company would like what customers like, right? And this is where Splunk actually now can sit on many, many us, all the all their data stores. They call it smart store underneath underneath me. I will now, when the previous original Visa incarnation, we couldn't actually your huge amounts of data. But now, with the visa and direct, we actually have access to the local drives and you can attach as many drives as you want. Then if you want more capacity, more more number of servers so you can pack thousands and thousands off drives at a price point that even public cloud cannot be anywhere closer. And this is actually important. Yeah, environment for the Splunk customers. Because for them, not only the cost right, even the data is sensitive for them. They cannot really, really push it to the public cloud data generated outside of the public cloud. If data generated inside Public Cloud, probably Amazon has their own solution, and Splunk cloud makes sense. But when data is produced outside, these are sensitive data and it's huge volume, and they produce on an average, like the kind of users VCs center about. It's a day on on, then it's only growing at an accelerated pace. And this is where the Visa and Direct and Mini Oh, you can now bring that workload onto the number. Finally, the ICTY can control the control, the Splunk deployments. This is something important for I t right in the past, if you see big data workloads always ran on bare metal and silos, something I d hated right This time it is flexible that it's not just flexible, exactly gets better. >>Well, it sure sounds like the technology maturation has finally caught up on the VM ware standpoint with the vision that you and the team had. So give us a little bit. Look forward now that you've got kubernetes really being embraced by VM where on and starting to see maturation in this space. Where do we go from here? >>So we were actually, If you see what they brought to the table this time, they didn't actually catch up with others, right? Typically, the innovation in the recent times happened in the open source space and then the large vendors will come and innovate. Startups and open source started the innovation large, large. When the large winters come in later. But this time around, remember, actually did the innovation part and these and direct. It's actually a big step forward in the Covenant of CSE space. And the reason why it's a big step is C s A. Traditionally is designed for the sand gnats vendors and using the same C s. A model, remember, was able to bring in large work clothes and that allowed entirely to use the local drive possibility. Right now it moving forward. What What we will see. What were said to see is the cloud native workload. Actually a ran as a silo in the Enterprise, right? There was big data workloads. There was the applications team that ran Cooper knitters and containers on their own. There are on their on their own develop shop on enterprise. I'd ran the idea introspect These three were not connected on finally this time around. By bringing cover natives native into the I T infrastructure, there is going to be a convergence. You will not. The silos will get eliminated. Big data, big data workloads, ml wear clothes on bare metal will now come toe come toe. Then I will be aware that the Governor disk combination and you will see the the coordinative applications space. They will hand over the physical layer infrastructure onto the VM Ware e and everybody coming together. I think it's the best. Big step forward. >>Well, maybe. I sure hope you're right. We love to see the breaking down of silos. Things coming together. We've been a little bit concerned over the last few years that we're rebuilding the silos in the cloud. We've got different skill sets different there, but we always love some good tech optimism here, uh, to say that we're gonna move these sorts of Thank you so much. Great to catch up with you and definitely look forward to hearing more from you and your customers in the future. >>Thank you to this. Wonderful to be on your show. >>All right. We want to thank everybody for joining VM World 2020 for day. Volonte John, for your big thanks to the whole production team and of course, VM Ware and our sponsors for helping us to bring this content to you. As always, I'm stew Minuteman and thank you for joining us on the Cube

>>from around the globe. It's the Cube with digital coverage of VM World 2020 brought to you by VM Ware and its ecosystem partners. Welcome back, I'm still minimum and this is the Cubes coverage of VM World 2020 our 11th year doing the Cube. First year. We're doing it, of course, virtually globally. Happy to welcome back to the program. One of our Cube alumni, Shannon Champion, and she is the director of product marketing with Dell Technologies. Cannon. Nice to see you and thanks so much for joining us. >>Thanks for having me. Good to see you as well. >>Alright, So big thing, of course, at VM World, talking about building off of what was Project Pacific at last year's show? Talking about how kubernetes all the wonderful cloud native pieces go in. So let's let's talk about application modernization. Shannon, you know, with a theme I've talked about for a number of years, is you know, we need to modernize the platform, and then we can modernize the applications on top of those. So tell us what you're hearing from your customers and how Delon Vm Ware then are bringing the solutions to help customers really along that journey. >>Yeah, I'd love Thio. It's fun stuff. So, um, enterprises are telling us that especially now more than ever, they're really looking for how they must digitally transform. And they need to do that so they can drive innovation and get a competitive advantage on one way. That they're able to do that is by finding ways to flexibly and rapidly move work loads to where they make sense, whether that's on premises or in the public cloud. And the new standard for doing this is becoming cloud native applications. There was a recent I. D. C. Future Escape that predicted that by 2025 2 3rd of enterprises will be prolific software producers with code being deployed on a daily basis, and over 90% of applications at that time will be delivered with cognitive approaches. So it's just kind of crazy to think, and what's really impressive to is that the sheer volume of applications that are anticipated to be produced with these cloud native approaches Ah, it's expected to be over 500 million new APS created with club approaches by 2024 just kind of putting that into perspective 500 million. APS is the same number that's been created over the last 40 years. So it's a fun, fun trend to be part of. >>Yeah, it's really amazing. When I talked to customers, there's some It's like, Oh, let me show you how Maney APs I've done and created in the last 18 months. It was like, Great. How does that compare before? And they're like, we weren't creating APS. We were buying APS. We were buying software. We have outsourced some of those pieces. So you know that that that trend we've been talking about for a number of years is kind of everyone's a software company, Um, does not mean that, you know, we're getting rid of the old business models. But Shannon, there are challenges there either expanding and moving faster or, you know, making sure that I have the talent in house. So bring us inside. What if some of the big things that your customers were telling you, maybe that's holding them back from unlocking that potential? >>Yeah, totally. You hit on a couple of them, you know, we're definitely seeing a lot of interest in adoption of kubernetes and clearly vm Ware is leading the way with Changzhou. But we're also hearing that they're underestimating the challenges on how toe quote unquote get to kubernetes. Right? How do you stand up that full cloud native staff and particularly at scale Thio? How do you manage the ongoing operations and maintain that infrastructure? How do you support the various stakeholders? How do you bring I t operators and developers together? Eso There's really a wide range of challenges that, um businesses air facing. And the other thing is that you hit on, you know, they're gonna be producing Mawr and Mawr cloud native applications, but they still need to maintain legacy applications, many of which are driving business critical applications and workloads. So they're going to need to look for solutions that help them manage both and allow them to re factor or retire those legacy ones at their own pace so they can maintain business continuity. >>Yeah, and of course, Shannon, we know as infrastructure people, our job was always toe, you know, give the environment to allow the applications to run in virtualization. For years, it was Well, I knew if I virtualized something, I could leave it there, and it wasn't going to it didn't have to worry about the underlying hardware changes. Help us understand How does kubernetes fit into this environment? Because, as I said that people don't want to even worry about it. And the infrastructure people now need to be able to change, expand and, you know, respond to the business so much faster than we might have in times past. >>Yeah, So from an infrastructure perspective, working with VM ware based on tons of really the essence of that is to bring I t operators and developers together. The infrastructure has a common set of management that, you know, each the developer and the I t operators can work in the language there most familiar with. And, you know, the communication of the translation all happens within Tan Xue so that they're more speaking the same, um, language when it comes Thio, you know, managing the infrastructure in particular with VM ware tansy on VX rail. We are delivering kind of a range of infrastructure options because we know people are still trying to figure out you know, where they are in their kubernetes readiness. Have, um, some people have really developed mature capabilities in house for who were Netease for software defined networking. And for those customers, they still may want Thio. You know, use a reference architecture er and build on top of the ex rail for, you know, a custom cloud native specific application. What we're finding is more and more customers, though, don't have that level of kubernetes expertise, especially at scale. And so VM ware v sphere with Tan Xue on VX rail as well as via more cloud foundation on VX rail are ways Thio get a fast start on kubernetes with directly on these fair or kind of go with the full Monty of B M or Cloud Foundation on BX rail. >>Well, we're bringing up VX rail. Of course. The whole wave of h C I was How do we enable simplicity? We don't wanna have to think about these. We wanna, uh, just make it so that customers can just buy a solution. Of course. VX rail joint solution, you know, heavily partnership with VM ware. So, Shannon, there's a few options. VM has been moving very fast. Expand out that the into portfolio, uh, back at the beginning of the year when the Sphere seven came out. You needed the BMR Cloud Foundation. Which, of course, what was an option for for for the VX rail. So help us understand you laid out a little bit some of those options there. But what should I know as Adele customer, Uh, you know what my options are? How the fault hands a sweet fits into it. >>Yeah, eso we like to call it kubernetes your way with the ex rail. So we have a range of options to fit your operational or kubernetes scale requirements or your level of expertise. So the three options, our first for customers that are looking for that tested, validated multi configuration reference architectures er that will deliver platform as a service or containers is a service. We've got tons of architecture for VX rail, which is a new name for what was known as pivot already architecture er and then for customers that may have minimum scaling requirements, they may have some of that expertise in house to manage at scale. The fastest path to get started with kubernetes is the new VM ware V sphere with Changzhou on VX rail. And then last I mentioned kind of that full highly automated turnkey on promises. Cloud platform. That's the VM, or Cloud Foundation, on VX rail, which is also known as Dell Technologies Cloud Platform. And that option supports Tan Xue with software defined networking and security built in with that automated lifecycle management across the full stack. So there's really three paths to it, from a reference architecture approach to a fast path on the actual clusters all the way to the full Deltek Cloud platform. And Dell Technologies is the first and only really offering this breath of Tanya infrastructure deployment options. Eso customers can really choose the best path for them. >>Yeah, so, Shannon, if if I If I think back to what we saw in the keynote, you know, VM Ware lays out there, they're hybrid and multi cloud solution. So of course they're they're public cloud the VM ware cloud on a W s. They have that solution. They have extended extended partnerships. Now, with azure uh, the the the offering with Oracle that's coming. And I guess I could think to just think of the Delta cloud on VX rail as just one of those other clouds in that hybrid and multi cloud solutions do I have that right? Same stack. Same management. If I'm if I'm living in that VM world world. >>Yeah. So the Deltek Cloud platform is an on premises hybrid cloud. So, you know, ah, lot of customers were looking to reduce complexity really quickly especially, you know, with some of the work from home initiatives that were sprung upon us and trying to pivot to respond to that. And, um, you know the answer toe solving some of that complexity is to jump into public cloud. What we found is a lot of customers actually are driving a hybrid cloud strategy and approach. And we know many customers sort of have that executive mandate. There's value in, um, driving that, um on Prem hybrid cloud approach. And that's what Dell Technologies Cloud platform is. So you get the consistent operations in the consistent infrastructure and more of the public cloud like consumption experience while having the infrastructure on Prem for security data locality There, um, you know, cost reasons like that eso That's really where VM or Cloud Foundation on VF drill comes into play eso leveraging the VM ware technologies you have on Prem hybrid cloud. It can connect all those public cloud providers that you talked about. So you have, you know, core to cloud on day one of the new capabilities that VM or Cloud Foundation is announced support for is remote clusters. So that takes us kind of from cloud all the way toe edge because you now have the same VCF operational capabilities and operational efficiency with centralized management for remote locations. >>Wonderful. I'm glad you brought up the edge piece. Of course, you talk to the emerging space vm ware talking about ai talking about EJ. So help us understand. How much is it? The similar operational model is it even? Is that part of the VX rail family? What's the What's the state of the state in 2020 when it comes to how edge fits into that cloud core edge discussion that you just, uh, raised? >>Yeah. When you look at trends, especially for hyper converged edge and cloud native are kind of taking up a lot of the airwaves right now. Eso hyper converge is gonna play a big role in Theodore option of both cloud native Band Edge. And I think the intersection of those two comes into play with things like the remote cluster support for VM or Cloud Foundation on VX rail where you can run cloud, you know, cloud native based modern applications with thons Ooh, alongside traditional workloads at the edge, which traditionally have more stringent requirements. Less resource is maybe they need a more hardened environment, power and cooling, you know, um, constraints. So with VCF on Vieques, well, you have all the operational goodness that comes from the partnership in the levels of integration that we have with VM Ware. And customers can sort of realize that promise of full workload management mobility in a true hybrid cloud environment. >>Shannon, when I'm wondering what general feedback you're getting from your customers is as they look at a zoo, said these cloud native solutions and you know what's what's the big take away? Is this a continuation of the HD I wave that you've seen? Do they just pull this into their hybrid environments? Um, I'm wondering if you have any either any specific examples that you've been anonymized or just the general gestalt that you're getting from your customers. Is that how they're doing expanding, uh, into these, you know, new environments that kind of stretch them in different ways. >>Yeah, it's interesting because you know, there's there's customers that run the gamut when we look at those that are sort of the farther down their digital transformation journey. Those are the ones that were already planning for cloud native applications or had some in development. Uh, there's also some trends that we're seeing based on, you know, the the size of cluster deployments and the range of, you know, various configurations that are an indicator of those customers that are more modernized in terms of their approach to cloud native. And what we find from those customers, especially over the last six months, is that they're more prepared to respond to the unknown on bond. That was a big lesson for some of the other customers that you know, had new. The digital transformation was the way of the future, but hadn't yet sort of come up with a strategy on how to get there themselves were finding those customers are inhibiting their investments to areas that can help them be more ready for the unknown in the future. In Cloud Native is top of that list. >>Absolutely Shannon Day Volante shown a few times. There's the people in the office, you know, with their white board doing everything. And there's the wrecking ball of covert 19. Kind of like Well, if you weren't ready and you weren't already down this path, you better move fast. Wonderful. All right, Shannon. So we know, uh, from past years, you know, VX rail. Usually it's all over the show. So in the digital world, what do you want? He takeaways. What are some of the key? You know, hands on demos, sessions that that people should check out. >>Thank you. Yeah. So hopefully your take away is that the exhale is a great infrastructure to support modern applications. First and foremost, we have, you know, a jointly engineered system built with VM ware, four VM ware environments to enhance fam. Where, and we do that with our the extra LHC I system software, which I didn't give a shout out to yet, which extends that native capabilities and really is the secret behind how we do seamless automated operational experience with the ex rail. And that's the case, whether it's traditional or modern applications. So that's my little commercial for VX rail at the show please tune into our VM World session on this topic. We also have hands on labs. We are launching a fun augmented reality game. Eso Please check that out on. We have a new Web page as well that you get access to all the latest assets and guides that help you, you know, navigate your journey for cloud native. And that's at dell technologies dot com slash Hangzhou. >>Wonderful. Well, Shannon Champion, thanks so much. Great to see you again. And be short. Uh, we look forward to hearing more in the future. >>Thanks to >>stay with us. Lots more coverage from VM World 2020. I'm stew. Minimum is always thank you for watching the Cube.

>>from around the globe. It's the Cube with digital coverage of VM World 2020 brought to you by VM Ware and its ecosystem partners. Hello and welcome to the Cubes coverage of VMRO 2020 Virtual this The Cube Virtual I'm John for your host, covering all the action for VM World not in person. This year it's virtual, so we're bringing you the virtual interviews remotely. We've got two great guest here. Marc Lemire, senior vice president general manager of the Cloud Services business unit at VM Ware and David Brown is the vice president for two at AWS Amazon Web services. Both Cube alumni's great to see you guys remotely Thanks. Coming on eso i first vm worlds not face to face. Usually it's great event reinvents Also gonna be virtual again. It's, you know, we're gonna get the content out there, but people still gotta know the news is gonna know what's going on. Um, I remember three years ago, I interviewed Pat Kelsey and Andy Jassy in San Francisco on the big announcement of AWS and VM Ware Uh, vm ware on a W s. Really? Since then, what a great partnership Not only has VM where have cleaned up their clarity around cloud. But the business performance mark has been phenomenal. Congratulations. All the data that we're reporting shows customers are leaning into it heavily Great adoption and super happy success. A US congratulations as well for great partnership. Mark three years, Uh, with the industry defining partnership. Ah, lot of people were skeptical. We're on the right side of history, I gotta say, we called >>it. That's right. It's an update. Yeah, No, look, we're super excited. Like you said, It's the third year anniversary of this game changing partnership and look, the relationship could not be stronger right across engineering the product teams to go to market teams really getting stronger and deeper every day. And at the end of the day, you know, of course, what it's about is innovating on behalf of our customers, delivering compelling new capabilities that allow them thio, migrate and modernize. And, you know, look, we're just really pleased with the partnership, right? And I think, as a result of that depth of joint engineering, building and delivering the service together, you know, we're proud to be able to say that it addresses are preferred public cloud partner for the Starbase workloads. >>You know, I remember at the time David talking to Terry Wise Ah, native West Side and Andy, of course on Ragu the architect for this vision of the partnership. And this changed how vm Ware has been doing partnerships on. I want to talk about that because I think that's a great use case of what I call the new cloud native reality that everyone's living in. But before we get there, Mark, there's some news tied around AWS and VM. Where could you take a minute to, uh, share the news around what's going on with VM World 10 0 You got connect. You got all kinds of enhancements. Just the update on the news. >>Yeah, sure. So you know, we continue Thio, listen closely to our customers and continue to deliver them new value, new capabilities and a few things we're gonna highlight at being world. The first is we've heard from many customers, you know, they love the ability to rapidly migrate their visa service workloads to the AWS Cloud and VMC on AWS is really a game changer. From that perspective on dso that continues to be really, really compelling use case for many customers. But what they've also said to us is, Look, it's not just about migrating to the cloud. It's also about migrating and then modernizing. And so, together with AWS, we have really brought together the richest set of tools for our customers to enable them to modernize those applications. Of course, we've talked about before. Customers have access to the full rich set of AWS services on Ben within VM or called on AWS. We're now announcing support for native kubernetes capabilities within VM Ware Cloud in eight of us taking advantage of the VM Ware Tansy Communities, good service. So we're really excited about bringing that that service in particular to our joint customers and then three other kind of key innovation that we're going to be talking about is around networking, right? And as our customer environments get larger and larger and they're looking to create a fairly sophisticated apologies between their on Prem Data Center between multiple VMC and AWS instances and between perhaps multiple native aws vpc s, we've done a lot of work together to really simplify the way that customers can connect all those environments together. Onda, maybe Dave wants toe talk a little about that. >>It did chime in. What's What's the news on your end to? What's the relationship and an update from the Amazon side for VM World? >>Yeah, absolutely. I mean, the partnership has just been incredible working with being where Right, Right? Right from four years ago, when we first started with the idea of what could be a W s and beyond where do together. I think we've seen really deep engineering engagement, but also leadership engagement on support from leadership on both sides was really set. Set us up for the partnership that we have today, which has been phenomenal. You know, Mark was just talking about the transit connect feature that beyond whereas adopting and what you really seen, there is years of innovation on the networking side of the sea to where we've really understood deeply what customers need from a network. Understood the fact that they're trying to recreate some of those large networked apologies that they're doing on premise on, then trying to support them in a cloud way of supporting them in a cloud about, like, way. And so, you know, transit gateways to service under the hood that we released about two years ago. It reinvent. And so what we've been doing with being where he's working out. What is Transit Gateway mean within the VM Ware environment? And so really bringing customers that that rich connectivity that they need? You know, whether it's between the BBC's between the VM Ware environments, even back to on Prem or between regions on DSO. That's what transit connect now on being where it's gonna be utilizing and bringing to customers we're pretty excited about. You know what that means for our customers? >>You know, one of the trends I see coming out all the announcements. David, I want to get your thoughts on it because we talked briefly a few months ago, uh, for your summit virtual. But I want you to kind of put it in context of VM Ware because you're seeing virtualization of physical things. You know, Nick's with Project Monterey and all that stuff with within video and software. You see to you guys have seen this vision not just compute, but you talk about networking. You know, you have the really the first time this convergence of physical own software virtual and This is not new to you guys. I know this is the premise of Amazon Cloud. First, you have the building blocks as three NBC too. But now a slew of other services. But this trend is gonna continue. Certainly with covert and work at home, there's mawr need firm or compute more different kinds of compute. You got the physical layer from the network of the devices. This isn't gonna go away. I mean, I would just need some interviews about Space Force, and they're talking about software to find, um, devices you can't do break fix in the space. So you know all this is gonna be done with software and this idea of the physical virtual coming together I mean, I know I love the Virtual Cube were not in person, which we were. But this virtualization trend around the hardware this is this'll is all about the sea, but the sea spinning for years. How does that relate >>to be inward customer? So, I mean, I think the VM ware customers experience which realization right long before ec2 was around as well. When being we're back in the day with being workstation, uh, it's it's kind of central to what they've been able to do, you know, being able to virtualized environments, being able to stand up environments ready very quickly on a physical machine is what the English board for the customer, Easy to started in a similar place. You know, the strength of the C two is being able to get a B m in a few minutes. Andi, you know, we've just grown the what we can support in a virtualized world. So you think about where we started with very simple machines, you know, today is supporting things like HPC and and advanced. You know, accelerators like GP use. And if p g A s and so we've already pushed the virtual world now, interestingly enough, you know, Vienna is obviously doing the same thing with their hyper visor. You know, many, many happy customers there. The really interesting thing it was through the innovation that we were doing on the easy to side to work out. How do we really get the most out of virtualization? Historically, virtualization is being played with things like jitter and just performance. You couldn't really get the network performance there with CPU would stall and those are sort of the old issues. The cloud in the innovation we've been doing is largely gotten rid of those. And so it's actually almost the the the ability to remove the virtualization from easy to. That really was the ingredient that enabled us to allow VM Ware to run on this. And so that's where it all started. Back in late 2016 we started to work with my team saying, You know, we've actually built the ability through our nitro system, um, to not require our virtualization layer. And then we could replace that virtualization with the VM Ware virtualization layer and that that set us up for what we have today, right? That that made VM ware on AWS a reality that gave the VM Ware customer you know, the full VM ware virtualization support, which is what the applications have been. Both Paul, that's what they've really come. Thio love. I don't want to change all of that when they moved to the cloud and so being able to move those workloads to the cloud for being where you know on on AWS and and get the benefit of great hardware design together with the great opera visor from being where obviously, it's a virtual the end of the day with a lot of innovation that we need to make him that >>mark. I wanna get your thoughts on this because I remember when we again years ago when we covered it again on the right side of history of the prediction, we said It's gonna be a great thing, afraid of us. And the end where some of the other commentary was at that time was Oh, my God. VM was lost at the capitulated Amazon is gonna suck all the thousands and thousands of VM where customers into the cloud and they're gonna eat him up in Vienna. Where is gonna be sitting there? Uh, you know, inside of the road. Okay. Not the case. Your business performance has been exceptional. Okay? The customers have been resonating with the offering. It's been a win win. Can you talk about the business momentum and how this continues to go? Because again, everyone got it wrong on that side. This has been exactly how you guys had heated up. I mean, a little bit here, and they're not exactly, But from a business perspective, it hit the mark. What's your thoughts? >>Yeah. No. Look, we've been incredibly pleased that the customer adoption that we've seen for the service, um, in fact, you know, the total workload count on the service has increased by over 140% versus this time last year, right? So clearly, customers are adopting the service at a large scale on growing rapidly. But I think you sort of feel that killed that back a little bit, right? It's It's really driven by three use cases and the value that we're able to deliver the customers right? And so if you're a customer, that's gotta be severe based workload in your own data center, and you want to move to the AWS Cloud. You know the fastest, lowest cost lowest Chris Way to move that workload is using VM Ware Cloud on AWS, right? And so it's that use case. It's powering a lot of that consumption. Another interesting use case that Xdrive in a lot of demand and that we continue to invest and expand is disaster recovery, right? So there's some customers that still want to run some more clothes in their own data centers, but they'd like to build leverage the public cloud as a target for disaster recovery. And you think about it you're talking about, you know, Cloud delivered as a service and the elasticity and all of those benefits. Those really playoff strongly in the d r use case where you Onley really want to spend up that capacity in the scenario where you actually need it, right in the case of a natural disaster. And so VM were recently acquired a company called Atrium and we're using that technology to enable a new service we call VM Ware. Cloud D are on top of the VMC on AWS offering, and this is a really powerful capability because it allows our customers to significantly reduce the cost of disaster recovery by taking advantage of AWS is low cost s three storage, combined with some unique capabilities in the day trip service that allows us to store the V M. D. K. Is very cost effectively on the next three storage. And then, in the case of a disaster, we can spin up those hosts. You know, they've talked about the nitro host. I've been spin up those bare metal host with the being more hyper visor on it and automatically restart those workloads without requiring any. VM conversion is because, of course, it's all all these fear based, right? So you know, it's so we're really pleased with the business performance, but you know, sort of behind that, of course, is the value that we can deliver to our joint customers together. >>You know, the integration thing is interesting again. I think the success is that there's a partnership at the highest levels and trickles down into engineering. David, talk about what's next for AWS because, you know, after cloud, you've got cloud native integrations. They're gonna be needed across more partners and more customers. Um, but they don't wanna do the heavy lifting, right? So So if I'm a customer like, hey, you know what? I just want Mawr Cloud scale. I want more cloud capabilities, but I don't want to do all this integration. How does how does Amazon view that conversation? Because again, that's one of the things that every interview, every reinvent every time I talk to Andy and the team. It's undifferentiated, heavy lifting what our customers asking for free from from you guys. VM, where customers and What's the What's your thoughts on this? What do you guys thinking about right now? >>Absolutely. I think market head on a couple of key points there as well or at the customer in this case, off. I have a workload today that I run in my data center or running a cola facility, whatever it might be. And I run it for many years, Um, in many cases working with customers in industries like healthcare and finance. You know, where they've actually had these thes applications qualified or certified? I'm to actually one on that hardware. And so, you know, requiring them to move to a different hyper visor is obviously a ready they'd lift and may slow down the ultimate migration to the cloud. Um And so having vm ware cloud on AWS and the ability to say to those customers, you know, just bring your application and you'll workload and and honestly the benefit of the entire ecosystem that VM Ware provides and come and enjoy that on AWS and burst into aws eso that's just been enormously beneficial for our in customer, For AWS is probably aware. I think that's the thing that really makes the partnership incredibly strong. And from there, you know, these customers can pivot. And so one of the things that we've been doing together with Vienna, where is ongoing innovation? Right. So we recently just launched, um, support for our I three n uh storage instance type, which offers up to 50% discount storage per gig with VM ware. And there's a lot that went into that behind the scenes to make sure that that instance type is perfectly tuned for what VM were needed for their end customer. We're very excited to get that out. There are many, many customers so excited about the benefit that that brings to them, right? So they're getting all the benefit of AWS innovation while they keep the benefits that they've been enjoying on the VM Ware side. Um, and you know, that speaks to the largest sort of approach that AWS has taken in in several industries across several industries. Right being where, I think is probably the best example of that. But if you look at many other areas like our networking products, customers will often come to us and say, you know, I love using a certain type of load balance. So I love using this firewall. Um, you know, within my environment. And we have great partnerships of all those companies to say if your customer, while joint customer, wants to use whatever appliance, whatever application, you know, we have a full market place full of thousands of applications that are all certified to run on us. We want to make sure we can meet those customers where they are and simplify the immigration story for them as much as we can. >>All right, So I gotta put you guys on the spot. Mark will start with you, but you can't get the same answer. Um, to the same question. The question is, what are the customers most happy with with the partnership from a feature perspective? What's the one? What? What would you say, Mark, um is the big Ah ha. This really is amazing. I'm so happy because of this feature capability. >>Yeah, yeah, I mean, a little bit back to the discussion we're having before, but I think you know the killer use case Really for the service today is that cloud migration use case I was talking about before. And if you think about what it might have taken them previously. Right? Uh, you know, expensive time consuming. Um, you know, it requires changes to their environment. In some cases, with with VM or cloud on AWS, we could take the cloud migration that would previously been taken them perhaps years, millions or tens of millions of dollars. And we can shrink that down toe literally months, right. We have some customers like m i t. That migrated hundreds of applications literally over a weekend. Right. And we're able to do that because it's the same core enterprise Class V, and where capabilities of the customers already optimized their application to run on in their own data centers that now we've enabled on AWS as a cloud service so that that cloud migration use case kind of combined with the fact that we're, um that were delivered to them as a service in the AWS cloud. I think is, uh, you know, one of the one of the use cases that a lot of customers find extremely attractive. >>Alright, David, your turn from an M. A w s perspective. What are people happy with you for on this partnership? What praises? Are you getting some your way When someone says, Hey, man, this partners has been great. Amazon really is awesome for this. What would you say to that? >>Eso, you know, watch book about the migration I was going to choose sort of, You know, once they're in aws, um, the benefits of the power brakes writes the ability to scale on the mind. E think one of the great things about the record in AWS that VM Ware did is already built it as a cloud native service. And so, you know, the customers are able to provision additional capacity very easily. We have that capacity available on AWS, and so they're able to meet any sort of unexpected demand of scale. Um, and then together with the breadth of services that we have on a diverse is Well, you know, you and we've we thought very carefully about how being were customer would want to consume those and to make sure that the whole system set up to allow that to happen. And so allowing them to to broaden what they're using over time, is there. Engineers and teams find other services that allow them to innovate faster and, you know, bold more interesting applications so that it integrates incredibly well between AWS and VMware and customers benefit from that. >>I wanna ask you guys, um, or in the industry side, um, to comment on cloud native, um, mainly because one we cover it into it's kind of important trend. Um, recently, snowflake went public with the largest i p on the history of the of Wall Street, and it's an enterprise company. Okay, Um, and I was using that as an example because actually being where was the second most popular, uh, Hypo happens to be another enterprise company if and I was commenting on this, and I want to get your reaction to it And that is, is that if you look at the mega trend that's going on now, of all the things people talk about, it's the cloud native That's the most interesting, because this is all the value. If you look at the modern applications all the way down to the networking, everything in between. It's all about cloud native, And it's not just about cloud public cloud. It's not about It's an operating model when we talk about that. But Cloud native is the big wave that people are on. And if you're on it, your modern. This is not just hand waving. It's legit. I mean, you're seeing benefits of it. You're seeing speed, time to value all the things that people talk about, it, the events. Could you guys comment on why Cloud native is so important today and why customers and developers should be really thinking through what that is for them. Um, David will start with you. >>Absolutely. So for us part native really means, you know, have you built your application in a way that takes advantage of the benefits of the cloud? And so are you able to scare the application horizontally? Are you able, Thio? You know, building away That's redundant Across multiple data centers. Are you able to utilize services that are provided by, you know, aws, the cloud provider Thio to not have your teams build that And so what it ultimately means is you're able to spend more time focused on on building stuff that really matters. You know, if your application So you mentioned Snowflake, you know there are a great AWS customer work very closely with them and and they're able Thio, have us around a lot of the infrastructure, all the infrastructure for them in the power. And they can really focus on building an absolutely incredible data, whereas in solution for their end customer and we innovate very closely with them. And so that's really what it means, you know. And I think organizations that have gotten themselves there ready get a lot of benefit. They're able to innovate faster. They're able Thio deliver more to the end customer. You know, we spent a lot of time with companies that you wouldn't say a cloud native today and as a cloud provider, azi exciting as it is to support the cloud native customer, it's also incredibly important that we find a way to support the company. That's on a journey towards adopting the cloud, right? They've got a long history. Maybe they've been around for many, many, many years. Andi, I've got a large application stack that they need to move. And so that's where our migration programs really support customers. You need to bring non card native applications and then we're able to work with them over time to make them, you know, more cloud native and get a lot of those benefits. And so it's a journey that I think many of companies on. Some started there, and some have a way to get their differently. Has a lot of benefit. >>Isn't Snowflake really in Just a example of value creation? I mean, it's not about that. They're on Amazon. You're happy about that. But it shows that you don't have to go a certain way. If you create value, speed, scale speaks for itself. So that's just that could be an enterprise. That could be startup. That could be the Cube. It could be anybody, right? I mean, don't you see it that way? >>Absolutely. Absolutely. I mean, they had a great use case that a customer need. It's in a really interesting area, obviously dealing with big data. And so I think you know, there's there's really no limit there, >>Mark. You guys are in the modern app. That's what you're hearing. It's one of the things that people gonna wanna come out of co vid. They're gonna wanna have a growth strategy. Cloud native. Why is it important? And what's your take on this? What's your reaction to the cloud native being the big wave? >>Yeah, I mean, I think. I think Dave said it. You know very well. I mean, when I talked to customers, you know, regardless of where they are in that journey, they all have some form of digital transformation agenda. Right? And at the end of the day, they wanna deliver better services to their end customers because they know that's what different is going to differentiate them. Or they want a better empower their employees, right? And as part of trying to deliver that value to their customers, their employees, you know, they want to focus their time and energy on the things that really differentiate them. Right? And, you know, for many of them that that means, you know, they don't wanna have to worry about, you know, upgrading some infrastructure software, right? That's not that's not delivering value to their to their customers. And so, you know, I think as they go down that journey, you know, we're really pleased to be ableto partner. What they did you ask to be able to create these, uh, you know, these powerful platforms together between VM ware and AWS that really deliver a lot of value to customers and allow them to focus on what's important their business, right? And, you know, by bringing together those enterprise class VM, or capabilities that hundreds of thousands of customers trust for their most mission critical workloads. Combining that with eyes, they have talked about the possibility of agility, the scalability of the dust cloud and then sort of, you know, not just those existing workloads, but also enabling a rich set of new services those customers can take advantage of to modernize. You know, whether it's VM Ware services like I talked about before with our native kubernetes capability built into BMC or whether it's the you know, hundreds and growing portfolio abated bus services, you know, giving them all, giving them the power of that full toolkit as a service so they can focus on building value on top. I mean, that's e think, really they want an equation. But that's why so many customers are moving down that path together with us. >>Well, congratulations. I want to say to you because David Lynch has been digging into the buyer behavior data, looking at the what the budget projections gonna be and VM ware on AWS has been strongly performing, and it's doing really well. Congratulations. And David. Great to have you back on. And you got reinvent less than 60 days away. Can you give us a little taste, teaser and taste of what you got going on? I know you can't reveal, but what kind of generally we're gonna be seeing at reinvent, uh, with E c two and your team >>absolutely reinvents a little different this year. It's It's obviously virtual on, so we're pretty excited about that. We think it will bring a new flavor. And so there's a lot of planning going on both in terms of product delivery. It was a It was a great time of year for us as we finish up a lot about big releases aimed at reinvent, then obviously working on content and presentations. And so, you know, a lot of interesting stuff for customers to think about is that >>they're not revealing anything. You just you know. Okay, you're gonna have some announcements. I'm sure you see two. That's a big announcements. Exactly. Hiding the ball, as they say. David Brown, vice president of Easy to it. Amazon Web services. AWS, Markle, Omar s v P. And GM. A cloud Service business unit at VM Ware. Um, great partnership. Congratulations. We'll be following it. Thanks for coming. I appreciate it. Thank >>you very much. >>Okay, I'm John. For with the Cube. We're here in Palo Alto. Remote for the Cube. Virtual for VM World 2020. Virtual couldn't be face to face. We're doing our best with our cube virtual to get you the content. Thanks for watching.

>>from around the globe. It's the Cube with digital coverage of VM World 2020 brought to you by VM Ware and its ecosystem partners. Welcome back. I'm stupid a man. And this is the cubes coverage of VM World 2020 our 11th year at VM World. And of course, we've been watching VM where they're doing a lot more in the cloud the last few years. Big partnership with A W s. And part of that is they bring their ecosystem with them. So Justus, they've had hundreds of companies working with them in the data center. When they do VM ware cloud on AWS in azure oracle, all the cloud service fighters, the data protection companies can come along and continue to partner with them. That's part of what we're gonna be discussing. Happened. Welcome back to the program. It's been a few years. Deepak Mohan. He's the executive vice president of products organization at Veritas. Deepak, thank you so much for joining us. You've got a beautiful veritas facility behind you there. >>Yeah. Nice to meet you. Stew. Yeah. We're really excited about the way in world event and a happy to be on the show. with you? >>Yes. So? So? So let's before we dig in tow data, resiliency and all the other pieces, you know, the Veritas VM relationship goes, goes way back. I mean, I think back to the early oughts, uh, you know, talk about the software companies. You know, Veritas was the, you know, software company in the industry that really got a lot of it started. Yeah, a little company that you and I both know knee M c picked up VM where the rest is history there. But veritas that that partnership has been there since the early early days off from VM ware. So just free refresh our viewers a little bit on on that partnership. >>Yeah, So we, um we're and Veritas have bean partners for, like 20 years. In fact, I'll say, both companies were founded about the same time. We, uh, neighbors in Silicon Valley and Veritas was actually one of the first companies to have introduced the concept off software defined data center software, defined storage. In fact, even before, you know, visa and all came into the picture. But as we and we're progressed with, the virtual is ations off the infrastructure. It was really important for enterprise customers to ensure that both their applications stay resilient and highly available, and all that data remains protected. So at 87% off the global fortune 500 customers are veritas customers. They're all using we and we're in their infrastructures. So any time we, um we're introduces a technology we have to ensure it is available, it's protected eso that partnership goes along a long way where every remember platform has way supported on day one for the Veritas solution. So very tight partnership. We get to see each other frequently and make sure that our solutions are joined at the hip. >>Yeah, Deepak, the term we hear from Veritas, we talked about data resiliency. And as you laid out there, you know, some things have changed. You know, 20 years ago, we weren't talking about cloud native environments, and you know all of these various pieces. Uh, it was really multi vendor heterogeneous environments that veritas lived in. Um, but even in all of these environments of, of course, you know, data resiliency, you know, making sure my data is protected, making sure things they're secure. Um, is still, you know, top of mine and so important for organizations. So, you know, talk to us a little bit about you know what that means here in 2020. With Veritas? Yes. >>So I'll say. 20 years ago, uh, we had one application. One server. Life was very fairly simple. Um, you know? Then came William where? You know, now we have the hybrid private clouds, public clouds, hybrid clouds. So the infrastructure is shifting into these other models, but the need for application resiliency and data resiliency is getting more and more complex because now we have applications that are running on Prem. They're running in virtual machines. They're running in hybrid environments. They're running in private clouds. They're running in infrastructure as a service. SAAS applications. So they're all over the place now, think about the job off the CEO. First, you have to make sure all these applications are up and running 24 by seven. Second, these applications have to be protected, which means, in case off a disaster in case often issue, you have to be ableto recover them a third. How do you be compliant with regulations with things? So so customers now have to have visibility into their infrastructure. So the job of the CEO is becoming super complex to keep in handle on everything. And that's where, uh, the companies like Veritas who are doing application resiliency data resiliency has become really important. I mean, as an example, last year at VM World Show floor, I actually counted the number off backup vendors compared to storage vendors. And there was actually more data protection and resiliency vendors on the floor. Then they were actually storage. Wentz. >>Yeah, Deepak here. You're absolutely right. We saw that, you know, for for years we used to call it storage world because they had all come in partner with VM Ware. But data protection. So So eso important here when one of the big conversations this year, of course, is that rollout of Project Pacific with VCR 77 update one just right, right ahead of the M world. Uh, I'm assuming Veritas is just keeping in lockstep with vm ware, but, you know, talk a bit about you know how that fits into the portfolio. >>Oh, absolutely. So, uh so one off the keys for veritas success over the last 20 years, uh, is that we have kept up with all the technology transformations and all the technology disruptions that happened. And as these hybrid cloud disruption that happening with you mentioned Project Pacific. But you know that it's the 10 zoo platform we are. We are one off the design partners with VM ware for to ensure the data protection layers are done correctly. Eso So we are definitely working with VM ware on the on the Chenzhou uh, resiliency as well as leveraging the Valero platform. So we'll make sure that as a customers are deploying these new solutions the Veritas Solutions out there or or to offer them the resiliency and data protection needed >>Deepak, we've watched that that real maturation of what VM was doing in the cloud, of course, the partnership, you know, first with IBM at VM World a few years ago, right after VM world, it was with a W s. And there was a lot of interest. But we are seeing that customer adoption. I wonder if you talk about how closely you worked with them. Do you have any, you know, maybe anonymous customers that you talk about? You know what they're seeing in the cloud? Why vm ware and Veritas went when they go to this environment. >>Yes. So I'll we have several customers who are moving into the cloud space, uh, leveraging VMC or now with the azure reimburse solutions. So what happens is when these customers we have large financials, for example, who are using now we anywhere and migrating their workloads into the cloud have eso. So they may be deploying virtual machines there. But the need for H A and data resilience in backup actually gets a little bit more complex because the old environments are still there on prime. Some workloads are now moving to the cloud, and they're leveraging The Veritas Solutions want to support the migration. Second, to offer the resiliency, leveraging the Veritas resiliency platform or net backup overeaters input scale. An example is I'll use an example of an air one airline customer reservation systems now moving to KWS within two availability zones. The application availability comes with the Veritas solution. So Veritas is Prue is on their journey to the cloud helping enterprise customers work in these hybrid use cases. >>Deepak, since you've got so many customers and they're going through their cloud journeys, uh, Veritas works across all the environment. You get a good view point as to where we are. One of the things we're really trying to help clarify people. We throw out these terms Hybrid cloud and multi cloud. Most customers I talked to we have a cloud strategy and you use more than one cloud. Yes. Is portability the big concern? Well, no, I'm not moving things all over the time. I don't wake up and say, you know, I'm checking the stock market and therefore I'm gonna, you know, move toe one of the other, but I need tohave my multiple environment. It's difficult on them with different skill sets. Uh, and you know, we're seeing, you know, companies like Veritas and VM where, you know, living where the customer is. So give us a little insight as toe what you're seeing from the customers, this whole hybrid, multi cloud environment. What? What does it mean to to your customers? >>Eso what? What? And says, You know, we have a variety of customers and, you know, invariably, when we talked to them, each one of them has, ah, little bit different journey to the cloud. I you know, some customers I'd say maybe more mid market. Want to move completely towards ah platform as a service approach and leverage either azure or a W s. Uh, but I'll say most of the enterprise customers are looking at, uh, taking workloads. It could be one of the applications. Some are further ahead in the journey, and they're taking now a mission Critical application. Okay, You know, it could be and s a p workload. It could be a thumb mission critical, you know, building system reservation systems and then using VM ware as the mechanism to go into the cloud with it and and and And when they do that, they're looking for the same level and same level of tools for both availability and data protection. Eso I'll say that we have lots of different examples between utilities, healthcare companies, financials, government. Yeah, who are ill say the common theme is now they're moving towards. I'll say the harder workloads are now moving to the cloud. And now they're absolutely leveraging tools from where eaters. They want to make sure that our solutions actually support those complex and highly scalable use cases. And we're absolutely doing that with the solutions. >>Deepak, you talk about some of the challenges that customers have. You know, some things have changed in 2021 thing that has not changed eyes that security is top of mind. We often see the, you know, data protection and security. Some of those pieces go hand in hand. I remember years ago talking at at the Veritas conference, it was G, D, p. R. And Ransom. Where were the big things that we talked about with every single customer as to how they were defending and preparing for that? So give us, give us the state of your environment. We know that even when everybody's working from home, unfortunately, the bad actors they're actually working over telling >>No. Yes. So I'll see the problem off. Ran somewhere has actually gotten a whole lot worse over the last couple of years. Uh, so, Aziz, we think about ransom where, uh, we have the security layer, which means, you know, first is you have to make sure your infrastructure is protected. You know, the second layer is detection. Which means how do you know if there's ransomware sitting in your environment? Because it could have come in and it may actually click in at a much later time, and the third is recovery. And to be able to recover, you need really good data protection and back up policies within the companies were able to recover it. So, of course, uh, most companies invest a lot in the security software, but we know that ransomware still get sent. It can get into a phishing attack. It can get into email some one off the employees at home clicks on something. You know, Ransomware is in eso the backup, and the data protection is the last line of defense from to be able to recover. So now you have it. You're stuck. What do you do? You want to find the last best copy, uh, be able to recover very, very quickly, and and the problem is is really serious. I was actually talking to my one off our tech support leaders, and we get at least one color day with one of our customers that have been hit with ransom er and we helped them through the recovery process s Oh, that's a heavy investment area for Veritas. Without that backup software backup exact software, but also with the hardened very terse appliances. We provide a very solid way for our customers to be able to protect and recover from Ransomware. The only thing I suggest is you know, once you have been hit at and if you don't have a good backup you know, I talked about that huge. Just state that entire state has to be protected also from ransomware, which means standardization is key. So when something happens, are you going to look at nine products to recover from or you want all your catalogs, all your data, all your insights in one place, so you can then go quickly, come back online and not have to pay the ransom? >>All right. Well, Deepak, let's let's bring it home. We're here at VM World. We we talked at the beginning about the long partnership. You were there, you know, Day zero with the VCR seven activity. What do you want people to take away from VM World 2020. When it comes to Veritas, >>I'm a key message. Tow our mutual customers as that veritas is here to support your journey to the hybrid cloud to the cloud. We are investing heavily in the solutions we Our goal is to continue providing today zero support for all we end where solutions and releases. And we're working very closely with VM ware on the 10 zoo platform rollout. We have a design partner with me and were there as well as leveraging the right AP eyes, whether to be a d. P. V i o P sent were certified on every latest versions off the VM Ware portfolio. We have several 100 engineers that work the just to make sure that we support these platforms, you know, in additional say's as the women were connects toe aws and to azure. Those solutions are also extremely well certified. So where it'll works very closely with AWS we were the first to be certified on the the AWS solutions. >>Uh, you're you're you're talking about like outposts, I believe. >>Oh, yes. Outpost. Yeah, so we just got the outpost ready. Certification, you know, works extremely well with the reimburse solutions. A swell Aziz A V s, uh, azure reimburse solutions so heavy areas off investment for us. So the same way that our customers have depended on us over the last 20 years. We are writing the technology disruptions to help our customers into the next wave with the same set off solutions working both on prime hybrid and clouds. >>Yeah, Deepak, I'm having flashbacks. You and I remember the things when it was the V x f s and the Vieques VM. And now we've got the, uh you know, uh, you know all the very the VM Ware versions on A V s and Google Cloud VM Ware engine. It gets a little confusing out there. But, hey, I really appreciate you giving us some clarity as to how you're helping customers with their their data resiliency supporting and ransomware and the deepen long partnership that Veritas and VM Ware have. Thanks so much for joining us. >>Thank you. Thank you. Stew. >>Alright, Stay tuned. Lots more coverage from VM World 2020. I'm stew minimum and thank you for watching the Cube

>>from around the globe. It's the Cube >>with digital coverage of VM World 2020 brought to you by VM Ware and its Ecosystem partners. Welcome back to the Cube. Virtual 2020. Coverage of VM Ware, VM World 2020 Virtual. I'm Sean for your host of the Cube. Join with Dave Alonso. We got a great guest. Carol Carpenter, Who's the chief marketing officer of VM Ware Cube Alumni move from Google Cloud to VM Ware. Carol, great to see you. And thanks for coming on the Cube for VM World 2020. Virtual coverage. Thank you. >>Yeah. Thank you both for having me here. Delighted to be here. >>So we've talked about many times before, but you're very in the cloud. Native space. You know the market pretty well. I gotta ask you what attracted you to come to the end? Where what was the What was the reason? Now you're heading up marketing for VM. Where what was the driving force? >>Well, a few things, you know, Number one. I've always had a passion for this space. I love the cloud. I was involved in an early stage company prior to Google Cloud that really had the promise of helping people get enterprises, get to the cloud faster. Um, and when I, you know, look around and I Look which kind of which companies are shaping the future of technology? VM ware, Certainly one of those companies. Second reason goes without saying the people in the culture, incredible leadership and empowerment all throughout Vienna, where and it's it's quite exceptional. And the third is I really think customers are on a really tough journey. Um, and having been at a hyper scaler, having worked at places where you know, cos air in a more traditional legacy environment, it makes it made me realize like this is a tough journey. And I think the, um where is uniquely positioned to help enterprises with what is a complex journey, and it's a multi cloud world. I'm sure you know that our customers know it. And how do you make all these disparate systems and tools work together to deliver the business results? I believe the M where is uniquely positioned Thio. >>It's interesting. VM Ware is going to a whole nother level. We've been commenting on our analysis segments around the business performance, obviously, and the moves they've made over the years. This is our 11th VM world. Keep started 10 years. 11 years ago. Um, we've been seeing the moves so great. Technology moves, product moves, business performance. The relationship with the clouds is all in place. But then Cove, it hits, okay? And then all that gets accelerate even further because you've got, you know, companies that I have to use this downtime to re modernized. And some people get a tailwind with modern application opportunities. So it's interesting time to be, you know, on this trajectory with VM ware and the clouds, what's your thoughts? Because you join right in the middle of all this and you're in and I of the storm. What's your view on this? Because this is a, uh, forcing function for companies to not only accelerate the transformation, but to move faster. >>Yeah, for sure. You know, it's been an incredibly challenging time, I think for everyone, and I hope everyone who's watching and listening is safe. Um, you know, we talk about decades of progress being made in two weeks, and I guess that's the silver lining. If there is one, which is this ultimate work? Remote work from home that we've enabled and the work anywhere. It's been completely liberating in so many ways. Um, you know, it's an area where I look at, there's how we lead our teams and how do we maintain relationships with customers, which obviously requires a different type of interaction, of different type of outreach? And and then there's what are the solutions at scale And you know, im I pleased to say, like there were absolute big lifts in certain areas of our business, particularly around, you know, remote work and our digital workspace solutions, you know, really enabling companies to get thousands of workers up and running quickly. That, combined with our security solutions and our SD wan solution to really enable all of these remote homes to become thousands of remote offices. So there's all of that, which is incredibly positive. And at the same time, you know, I have to tell you, I joke, but I still haven't figured out where the bathroom is, you know, free three plus months. So that way I miss the human connection. I miss being able to just see people and give people a hug now and then when you want Thio >>e mean, VM. Where? Carol, It's amazing. Company. You mentioned the culture before. It really started as a workstation virtualization company, right? And then so many challenges, you know, and use a computing. You guys do an acquisition bringing Sanjay Poon in all of a sudden, you're the leader there cloud, you know, fumbled a little bit, but all of a sudden, the cloud strategy kicking on all cylinders, we see that, you know, growing like crazy. The networking piece, the storage piece you mentioned security, which is a amazing opportunity. Containers. They're gonna kill kill VM ware. Well, I guess. Guess what? We're embracing them. It seems like culturally vm where it just has this attitude of if there's a wave, you know, we're gonna ride it, we're gonna embrace it and figure out how to deliver value to our customers. What's your thinking on that? >>Yeah. I mean, it's such a VM ware, such an innovative company. And that is another reason that attracted me on disability to look at what customers need. Like, this is an incredibly were an incredibly customer centric company, listening to customers, understanding their needs and providing a bridge to where they need to go while also providing them the resiliency and needs they have today. That is what thrills me. And I think we have such an incredible opportunity to continue to drive that future innovation while also being that bridge. Um, I have to tell you, you know, I've known VM Ware for a long time, and what appealed to me is this broader portfolio and this opportunity to actually tell a broader business value story to be able to actually tell that story about not just digital transformation but business transformation. So that's what that's. That's the journey we're on and it's it's happening. It's really I mean, you look at all the customers, whether it's, you know, JPMorgan Chase to, um, a nonprofit like feeding America to, you know, large companies like Nike. It's really incredible the impact and value we could bring. And I feel that my job and the marketing team's job is, I tell them like they're all these diamonds in the backyard. It's just some of them are a little dirty, and some are they're just not fully revealed, and it's our job, todo and you know, dust them off and tell the story to help customers and prospects understand the value we could bring. >>That's how should we be thinking? How should we be thinking about that? That business value, transformation, business transformation? You you? Certainly when you think of an application's company that there's easily connect the dots. But how should we be thinking about VM Ware in that value chain? You an enabler for that transformation? Can you provide some color there? >>Yeah, let me give you some specific examples like Look at, um, so the addition of Tan Xue to the portfolio is what enables us to have these discussions that, let's face it, the only reason people need or want infrastructure is because they want to deploy an application. They want to write an application. They want to move an application. And Tan Xue, which is our container based, kubernetes based orchestration solution and lots more to it. That's what how it is in simple terms that gives us the ability to work with companies, lines of business as well as developers around riel. Business transformation. So two quick examples one. I can't say the name quite yet, but I think very large pharmaceutical company who wants to launch and have a mobile app to help patients. People who are taking Cove in 19 tests get the results, understand the results, ask questions about the results and have one place to go that's really powerful. And to be able to develop an app that is scale built for scale, built for enterprise, built to be resilient when patients are trying to get information. Um, in four weeks, I mean, that's pretty. That's quite incredible. Another example is, you know, very large e commerce company that, you know, you mentioned Cove it and some of the challenges we know retail has certainly been kind of, ah, tale of two cities, right? Some companies with lots of lift and others with real struggle in the physical world. But anyway, large retailer who had to within weeks flip to curbside pickup, Um, being able to look customers being able to look at inventory on demand, those kinds of capabilities required ah, wholesale rewrite of many of their e commerce applications. Again, that's a place where we can go in and we can talk to them about that. And by the way, as you know, the challenge is it's one thing to write and deploy an app, and then it's another to actually run it at scale, which then requires the networking, scalability and flexibility it requires. The virtual, um, storage. It requires all the other elements that we bring to the table. So I think that is the That's kind of the landing spot. But it's not the ending spot when we talk to customers. >>Carol talk about the challenge of VM World 2020 this year. It's not in person. It's one of them. It's an industry event. It's been one every year. It's a place where there's deep community, deep technical demos, beep deep discussions. Ah, lot of face to face hallway conversations. That's not happening. It's virtual. Um, you came right in the middle of all this. You guys pulled it together. Um, got a You got keynote sessions and thanks for including the Cube. We really appreciate that as well. But you have all this content. How did you handle that? And how's that going and and share some, uh, color on what it took to pull it off. And what's your expectation? >>Yeah, So you know. Yes. VM world is considered the gold standard when it comes to industry events. I mean, from the outside in this is the canonical I t event. And so I feel, really, you know, honored that this franchise is now in my hands and have an incredible team of people who obviously have been working on it for prior to my joining. So I just feel honored to be part of it. Um, this is going to be the world's largest VM world. And on the one hand, miss the energy in the room, Miss seeing people, everything you talked about, the serendipitous interactions that the food line or coffee bar. Um, but going virtual has so many benefits. Some of the things we were talking about earlier, the ability to reach many, many more people. This event is going to be 5 to 6 times larger than our physical event. And that's not even including the VM world that we're running in Asia in China. And the other thing that makes me super happy is that over 65% of our registrants and of the attendees here are actually first time VM world attendees. So this ability to broad in our tent and make it easier I mean, let's face it. You know, being able to fly, whether it was Vegas or San Francisco is originally planned. Stay in these expensive hotels and take that time it was. It's a big ask. So by going virtual, we actually have expanded our audience tremendously. Three other thing I am really excited about is we have 800 plus content sessions. We are following the sun. We have live Q and A after every session. We have really the best mobile app for any events, so I encourage you to take a look at that which does enable the chat interaction as well as you know, path funding through the many channels we have of contact. Its's Look, we're learning, and I'd love to follow up with you later to hear what you've learned because I know you've also been doing a lot. Virtually, I think the world is going to move to something that's more hybrid, some combination of virtual and small group, you know, in person, some local events of some sort. Um, but this one I'm super excited about, we we really have seen high engagement, and I just think, Well, I look forward to hearing everyone's feedback. E >>I think one of the things that we've been hearing is is that I can now go to the M world. I can participate now virtually it's it's kind of I would call First Generation writes me the Web early days. But you're right. I think it's gonna open up the eyes to a bigger community, access a bigger pool of data, bigger pool of interactions and community. And when they do come back face to face, people be ableto fly and meet people they met online. So we think this is gonna be a real trend where it's like the r A. Y of this virtual space is tremendous. You could do demos. You conserve yourselves, you could consume a demo, but then meet people face to face. >>And by the way, we have, you know, a tremendous number of fun activities. Hopefully you've taken part in some of them. Everything from puppy therapy Thio magic shows to yoga Thio Um you know John Legend legend performing. So I agree. I think the level personalization and ability to self serve is going to be out of this world. So yeah, it's just the best. >>Your event, just some key things that we can share with the audience. Cloud City has over 60 solution Demos Uh, there's a VM World challenge That's fun. There's also an ex Ask the expert section where you got Joe Beta and Ragu and other luminaries there to ask the questions of the That's the top talent in the company all online. And of course, you get the CTO Innovation keynote with Greg Lavender. So you know you're bringing the big guns out on display on it. Z free access. Um, it's awesome. Congratulations. We're looking forward Toa see, with the day that looks like after, So what's the story line for you? If you had to summarize out the VM World 2020 this year, what's coming out from the data? What are you hearing? Is the key themes, Actually, the tagline. You know, uh, you know, possible together, Digital foundation, unpredictable world. But what are you hearing, uh, in the virtual hallways? >>Well, a few things, but I'd say the top take away is that VM where has spread its wings, has embraced mawr of the different ICTY audiences and is driving business transformation for companies in new and pretty unique ways. What and then obviously like slew of announcements, new partnerships, new capabilities, everything around multi cloud we have. As you know, every single cloud provider is a partner on the security front, intrinsic security built in throughout the entire stack. The the other part that I I think it's super exciting are these partnerships were announcing everything from what we're doing with and video to make a i mawr accessible for enterprises in production to what we're doing around sassy, secure access Service Edge. Being able to provide a holistic, secure, distributed environment so that every worker, no matter where they are, every endpoint, every remote office could be fully secured. >>You know, in VM where is the gold standard of Of of the Ecosystem and VM world? Of course, they're all in the showcase and it was hard fought. I mean, it took a long time to get there, and you know, the challenges of building that. And now you mentioned in video. You see all these new tail winds coming in and and then I've seen companies launch at VM World. And so you know that ecosystem is, as I say, it is very difficult to build. But then becomes a huge asset because this just gives you so much leverage. A zone organization, your company's your partners, your customers. >>Thank you, Dave. Yeah, we're super excited. And I should say that like the partner and the ecosystem here is unparalleled. And our challenge is how do we provide? And you know, this Like, how do we provide the strategic vision and that practitioner level content? So we're gonna you know, that's what we're committed. Teoh is making sure that our practitioners get everything they need in every every area of expertise, as well as making sure we're conveying our business story. >>Carol, thanks so much for coming on. Really appreciate the inside one final question for you as we get through this crisis soon hybrid comes back for events, certainly. But as the CMO the next gen story, you now have a chief customer officer. We interviewed him. Well, the n words go to the next level. What's your goals? What are you trying to accomplish? And you've got a lot of things going on. Certainly a big story to tell. A lot of ingredients. Toe kinda cook a great, great story here. What's your goals? See him over the next year. >>You know, my goal is to help drive the business transformation and you've heard it from Submit. You've heard it from others at this point. But really, you know, the company is going We're going through a dramatic transformation from being, you know, ah, license on Prem Company to being a multi cloud, modern SAS company. So my goal is to support that. And that means modernizing the way we do marketing which, you know, you say, Well, what does that mean? It means customer focus, customer lifecycle marketing. It means agility, being able to actually use data to drive how we interact with customers and users so that they have those great experiences and they continue to use the product and Dr Adoption and Growth. And the other part of it is, um, b two b marketing, as you may or may not have noticed, is incredibly boring and dull. And I know I'm guilty of this, too. We get caught up in a lot of but jargon and the language, and I am on a mission that we're going to do great B two B marketing that helps customers understand what we do and where we express the value simply clearly and in in differentiated way. >>That's awesome. >>Yeah, Why should the consumer guys have all the fun? Right? >>Right, Well, and that's part of being, by the way a SAS or subscription company is. Everything we do needs to be consumer simple at scale and with the secure ability and the reliability of what an enterprise means. >>Well, I got to tell you that the irony of all this virtual ization of the world with Covic virtual events e one of the big surprise is we're gonna be looking back at is how much it's opened up Thio Mawr audiences and new ways of modernizing and taking advantage of that. Certainly with content in community, you guys are well positioned. Congratulations for a great event. Thank you for coming on and sharing your insights, and we'll keep in touch. We'll try. We'll try to make it exciting, Mister Cube. Thank you. Appreciate >>it. Thank you. Awesome. Thank you. Thank you, John. >>I'm Jennifer David. Lot Cube. Coverage of the M 2020 Virtual. This is the Virtual Cube. Have now virtual sets everywhere. All around the world. It's global. Thanks for watching

>>from around the globe. It's the Cube with digital coverage of VM World 20 >>20 brought to you by VM Ware and its ecosystem partners. Hello and welcome back to the cubes. Virtual coverage of VM World 2020 Virtual. Is the Cube virtual not there in person this year because of CO of it? I'm John for your host of the Cube. Got David wants to meet him in all the Cube folks covering, of course, with VM Ware and VM World 2022. Great guest here to talk about the future of the workforce solutions and the impact of network security and partnerships. Tom Gala, senior vice president general manager of networking and security business unit at VM Ware and put it, Men OSHA. Who's the VP of business development and corporate development at Z Scaler. Two great companies all doing extremely well as customers are dealing with Cove it And the reality is this market and putting plans in place for coming out with a growth strategy. Gentlemen, thank you for joining me today. >>Yeah, John, thanks for having us. >>Thanks for having us, >>Tom. I want to start with you. Actually, the partnership with the scaler is the discussion of this topic. But you guys do have some hard news around the future of workforce solutions. What's the hard news and has that relate to all this? >>Yeah, we sure do, John. So you know, networks were built in a very different time. Networks were built when work was a place that you came. Now, work is the thing that you do. Oftentimes you do from your living room or your den. As I am on DSO, it really calls into question some of the fundamental principles of how we build a deploy networks. In the old model, we would set up something like a branch office and we would back haul traffic using a dedicated circuit like an mpls circuit back, haul it to one of a handful of locations that we called the DMZ or Demilitarized and those locations where you would stitch together a security ensemble made out of dedicated hardware appliances, firewalls, Web proxies, I PS systems and the like And that model service? Well, Azan industry for many decades, three. I'd say 30 years. Um, all of a sudden, the whole notion of the workplace has changed and changed dramatically We're all living through that and experiencing it firsthand. And so the original model of back hauling traffic to some point in, you know, precipitating New Jersey so that you can run it through some magic black box because the model doesn't apply anymore. And so at the end, where we have a new vision for how we can take the security, the reliability, the performance that you get when you're on the corporate network and extended into people's homes. And this is in line with what industries air calling, sassy or secure access services edge. And so the news that we're announcing is we have a complete, sassy solution that involves zero trust access. It involves firewall I. D. S I. P s capability, Advanced security services and then importantly ah, very strong partnership with the scaler on. We can walk through how that works, but it's really driven by this new shape of the workplace. >>Put it, Talk about the partnership with VM where we've been following see scaler for a long time. What a great success story. Great technology team. Great business model growth in your marketplace. Congratulations on your success as you guys continue to grow the world has spun in this disruption kind of world we're in now. You guys are well poised for that. Talk about your partnership with VM Ware. >>Thanks, John. And thank you, Tom, for that quick overview. You know, just to play out this idea we started over it over a decade ago. The basic idea was you know, the users, uh, pretty much everywhere, and the applications are moving to the cloud. And so back to Tom's comment. You know, we had these networks where you were back hauling. Maybe I'll just give a very simple analogy the CIA off Nestle, you know, when he first deployed, uh, Z skater, you know, and and realized a tremendous amount of cost savings that a security. But then, more importantly, the employees off Nestle actually started blogging that the Internet had gotten faster. And when the CEO came to ah customer advisory board meeting, he made a very simple analogy. Imagine having to get out to the Internet through four major international airports worldwide. All right, so you couldn't drink directly traverse from point A to point B. But you have to transit through these four. It would be very inefficient it would really slow you down. And more often than not, you'll be complaining that was the old network architectural. And what we have chosen to do here from a security standpoint at sea Scaler, is make that security closer to the end user. Now we pride ourselves from a security standpoint, and we certainly need networking to also adapt to that. And that's where we have found our partnership with VM Ware, to be particularly strategic. We started partnering with VM were actually prior to them, acquiring Vettel Cloud, which is the software defined when, uh, networking provider, uh, just primarily because they were a cloud based networking player. And this idea off locally breaking out to the Internet Getting out to the end destination as quickly as possible is something that they did quite seamlessly. And so we started this journey, this partnership with them a few years ago and today at VM. Well, we're enhancing that, expanding the partnership not only from a product standpoint, but then, more importantly, we're leaning in from a sales go to market customer support standpoint. >>You know, that's a great point. What? I've been saying this in the queue for a while with the joke was, um the When is the new Land E? I mean, we used to have the old days, remember? Oh, campus connecting networks drive to the airport as you mentioned, the great analogy there, by the way, has to be better. People are working at home. You got technically a land un security, you know, working at home. People are realizing this. These core services have to change. It's not just connect to the Internet the old way. It's everywhere. It's networking everywhere. This is the reality of the kinds of Internet things that used to go on where it's kind of cool and secure. You know, you've got a perimeter. Everything was working. Great. Put it. You mentioned it. Why drive to the airport? Four airports with world. That's a great analogy, Tom. This points to the future. Ready concept, access anywhere. Services that are needed for the security and, more importantly, the user experience. I don't want to slow down to go faster. I wanna I wanna I wanna make it. I wanna make a good experience happen. What's your thought? >>Yeah, well, I mean, I think we're all living through this new world where we're working from home, and sometimes the user experience is less than perfect. In fact, on this broadcast you may see stuttering and break up of the video, and you know, that's that's a problem that I think needs to be solved. It's a problem that we're able to solve with virtualization. So the idea behind virtualization by putting a layer of software on top of a physical asset, you could make it easier to manage that asset. You could make that asset more efficient. We certainly did that with servers. It was really obvious. Now we're doing it to the network itself. So what this means is we have some customers. We have one customer that is in the health care industry, like during the height of the crisis, all of their doctors and researchers had to work from home, and yet they needed to use video communication tools like we're doing here. And they needed a consistently good and user experience. And so we were able to ship these customers more than 8000 boxes over the course of two weeks into people's homes. So think of a little tiny device about the size of a set top box shows up in your house and all of a sudden your zoom or your WebEx sessions just work, no more stuttering. And we're breaking up because we're able to manage the network and virtualized prioritized traffic and deliver consistently good and user experience. So managing the quality of services, a foundational capability, and we have a unique ways to do that with virtualization that I think never existed before the second step is I wanna make sure not only that it's a good user experience, but my security. All of those controls that used to live in black boxes that those replied, This is where our partnership with the scaler is so important. So the scaler has the same philosophy that we do of like, let's put this stuff in many points of presence around the world. I think you know you're in like, 100 or so points of presence, so we weren't 150. And so whatever an end user is, you just find that nearest point of presence, connect and make the shortest route possible to deliver good quality and user experience and also consistent world class security. It's zero. It's >>interesting. First of all. We'll sign up for the Cube Virtual. We need that video late challenges. But we're you know what? We shouldn't have to be video engineers to manage the packets on the round trip. This software, I mean, you know, Web Zoom, they build their entire application to manage these kinds of intellectual property challenges. So that >>brings the >>complexity of applications. So, you know, people are gonna have all these new complexities. And how do you integrate it all? >>Yeah, you know, obviously, Zoom and WebEx companies are, you know, this is court or what they do. The challenges they gotta control both ends of the wire, and and so so with with our network virtualization, we actually control the wire itself, right? We can make the wire behave in a way we can prioritize traffic so that your zoom goes ahead of Xbox Live or Netflix do things like traffic shaping, which are techniques that are actually well understood, but difficult to deploy in a physical world. In a virtual world, we could employ these techniques constantly adapting and changing to make sure that engineer experience is smooth and easy on. That's really pretty impactful. >>Put it. What's your reaction all of this because you know I'm a customer, you know? You know, I'm like, What's in it for me, guys? Integration with the scale of VM Ware. What's in it for me? Because I got now multi clouds in the horizon. I'm dealing with multiple clouds today. I got complexity and applications themselves, and I want to create the nirvana that you laid out, which is access anywhere. High speed eso I might not have the expertise in house. What do I do? What's in it for me? Take me through the value proposition. >>Absolutely. So you know, Tom touched on it. You know the idea of bringing security as close to the end user as possible. If you step back for a minute and you start to think about security usually security and user experience off a contradictory Usually if you add more security, you lose use of experience and vice versa. That's sort of what Ziese killers start to go solve. And so, you know, over a decade ago, you know, when we started to build the architectures, it was built with a few core principles in mind, right? The idea of being completely distributed today we're in over 200 points of presence worldwide. That gives us a pretty good footprint to be as close to the end user. We absolutely could not compromise own security. So this idea that if you have a finite appliance, maybe the appliance has a, you know, a limited amount of CPU or horsepower And so I will tweet the security s so that I could get more performance, not the case with how we ran about, you know, offering security. All security services run all the time. Right? So without any compromise to the end user, and then finally, you know, when it comes to the actual security itself architectures based on something called a proxy. And usually again, if you start to think about a proxy and security was, uh people don't think in a very favorable manner, they usually think it slows things down. It adds Leighton, see, it breaks applications. And again I go back to, you know, the foundational elements of the skater. When we started this journey, it was with this idea that we're gonna build this proxy from the ground up. Very high performance. Mike was second, like late and see something that you would not see in the market anywhere with this partnership. Now, right? Seamless integration between VM Wednesay skater You are now able to set up these tunnels instantly automatically, so go back to Tom's. Example. 8000 set top boxes like devices sent out to this healthcare institution. Right? You can automatically set up tunnels such that the traffic is pointing to Z scale. There's feel over capabilities, so any and all of that has been instrumented in in software. The end customers sets that up. You know can automate that templates all across those 8000 devices. You now have security at the same time with user experience. A passed away to go adapt to business needs agility, you know, being able to keep up and lower your costs because you're substantially reducing the Mpls footprint. So there's a whole bunch of disparate, uh, you know, advantages that an enterprise gets. But the biggest one off amongst them, in my mind, is just being able to address the business needs. I mean, how Maney CEO is today with Colvin are starting to realize my network is not adapting to this new normal right, and so that's sort of where this partnership between VM Ware and Z scaler comes in. It's very timely. >>Everyone's like they want more about their network, and that's like, you know, everyone's banging on the table. Great. Great point there. Thanks for taking that great explanation. I wanna just follow up with you if you if you don't mind, compare that what you just said in terms of the value of Z scaler with this partnership versus the old way, because you what you just laid out was, you know, dynamic provisioning, setting up connections, having software, automate things, compare what it was like before because, remember, I mean, people have been around the industry. No, the pain in the butt that it's been and human error Compare what the old way it was like And now with this experience, can just just >>really And I let Tom talk about, you know, things on the network side. You know, where you might have had a large behemoth like a Cisco box where you try to tweak some policy and the entire box would fall over or something along those lines from a security standpoint. Usually when you had a a box, you know, You know, folks would call it a youth name box that God about box with, You know, as much security as you could push into a finite amount of appliance unified threat management function. Usually what would end up happening the old way was, you know, you would, you would you would have some basic security capabilities. Maybe it was. It's a traditional DMC that Thoma alluded to. You know, there's a firewall, there's an I. P s. There's some Web proxy capabilities and and that that was the that was the journey that a customer had, you know, So they would replicate this box and all those various locations. Or in the case of Nestle, before the scaler, they had those Dems es in four locations around the world, right? And the moment security, security keeps changing, right, the threat landscape keeps adopting. I mean, today, within disease killer cloud, we provide over 125,000 updates everyday, right? That's how dynamic security is. And so because the threat keeps changing, usually one of the things that vendors will try and do is add more security to that existing appliance. Right? So you're trying to make sure that a customer bottom appliance on, they need to make sure that they recoup the full investment. Let's add a little more security to it. Let's add a little more security to it so that I can keep up with the latest threats. Well, the problem with that is, when you have a finite amount of horsepower within the appliance, the performance starts to drop. And so usually that was the trade off that enterprises were making. With the security now being in the cloud right, And this idea that you're in the way, you sort of have infinite compute. Uh, you are now decoupling security from those those branch devices that Tom just alluded to. I mean, that 8000 boxes, right? One of the key points of a sassy framework that Tom alluded to is a very lightweight branch. And that's the piece That's the North Star that I think both VM Ware and Czyz killer have had right that that that low end not not lowering but of a thin branch and let the heavy lifting whether it's on the US side from the networking standpoint, whether it's security, um, you know, as it related to Z skater. Let that heavy lifting be done in the cloud. >>Yeah, and of course, there's a lot of lot of moving parts, so it's It's might be lower in lightweight, but it's more functionality. That's what the cloud Because I get that point, by the way, that anyone in the D M Z knows that as you add more stuff in there, get more, you know, cooks in the kitchen. Nothing good comes from that. Um, Tom, I'm gonna get your thoughts for the your audience out there and your customers and your prospects. What does the Z scale of partnership mean for them? >>Well, like I said, it zone opportunity to think differently about how we build a deploy enterprise networks. This a dramatic change. Most of us have been familiar with the old model where you had a spoon. It was referring to those big heavy boxes, the VPN concentrators and at the same time, most of us have been employees of those companies on. We've had the, you know, sort of less than stellar experience of turning the VPN on, and all of a sudden interest in Internet go slow. That's that's not what we want Thio achieve, and so so having the ability to use a distributed architectures. It's being forced upon us. Everyone is distributed where they like. They like it or not, Right? And so having a distributed architecture where I can put security and quality of service network controls closer to the end user is really, really critical. And I think just as puny was saying they started with this idea of of pushing security closely on user. We started with fellow Cloud with the idea of virtual izing the network in lots of physical places. So retail locations. So you've got thousands of stores around the world. You need to deliver video and audio services into those stores with a very high quality. So we were designed to have a very light, uh, entry point, and a light interviewing can just be pure software. It could be a small box three advantage of a small boxes. It's so turnkey it's designed that totally unskilled operator can use this retail people. A store manager gets a little box in the mail. You plug it in, you know, snap to Internet cables into it, and it just works again, Put it referred to this. This is part of our value. Proposition is, you plug this thing in a zone and used all you know is the Internet just got faster. You don't have to configure proxy settings. What's my I p range? Like that stuff's? Yeah, exactly. Well, and this is so many of us are feeling it now when you have, you know, sub optimal network connections. So being able to deliver a quality and user experience, >>you know, Cove, it accelerated a lot of a lot of opportunities. Also exposes the scabs and and, you know, things that been laying around and some suboptimal projects. I mean, and everyone's gonna be doubling down on things that are working and probably, you know, putting on the back burner or killing projects that don't make sense. So, um, this is a great opportunity, and I think forces things right in you guys. Wheelhouse is so I appreciate taking the time for the last minute that we have left Tom and putting. If you don't mind, I'd love to get your thoughts real quick on what's next after cloud. Obviously, cloud brings up all these benefits you're talking about. Um, what do you guys see is what's next after cloud Tom will start with you. >>I think that the you know, the range of services that will deliver in this format is not at all limited to traditional DMC services. So thank ap. I gateways. Think about core infrastructure offerings like DNS. Pretty much everything that we used in the network can actually now be delivered as a service in software more efficiently, Um, then standing up boxes and and racking, stacking yourselves. And so our view is that that cove, it has killed the appliance once and for all. And that's broadly. That's not just at the at the edge. That's in the core of the data center, things like load balancers. They're all moving to software with scale out scale out infrastructure software running on X 86 on DE. So I think that change of that magnitude will still take a while to roll out. But it's happening, >>Cove. It killed appliance. That's the headline right there. Love that. Put it after cloud. What's next? >>Well, you know, I'll say this job very similar to what Tom just mentioned. I think we're in the early innings, you know, when we would talk to our customers about transforming the network and adapting to this new normal. You know, we had some early adopters, but there was still a fair number of people that was skeptical and that loved their appliances. Covert has changed a lot of that. And so we have seen, in general acceleration of the business. The market is moving in our direction, and we feel that with this partnership you have to market leaders coming together. Right? VM ware on the networking side on the cloud networking side on the data center z scaler as it relates to cloud security user base security. This idea that we are a zero trust exchange that allows users to connect your applications to the Internet in a safe manner and at scale. That's the beauty off. You know, this'll, uh, partnership that we have brought together. And we are hopeful that customers will embrace it with confidence. And I'm mindful that we're in the early innings. >>Great points, gentlemen. Awesome stuff, great insights. And I think the cloud native integration shows that people in the ecosystem is evolving to be cloud native toe have these kinds of integrations these value points physical virtualization. Tom. Great point. I mean, we're not in face to face, but we're here. Virtually the The Cube is gonna be virtual. It's suffered to find operations. The world has changed. I think everyone is now seeing it. Thanks for the insight. And congratulations, Tom. On the news putting. Thank congratulations on the partnership with VM. Where sounds like it's great for customers looking forward to digging in. Thanks for your time. Appreciate it. Okay. That's the cube coverage here. We're in Palo Alto, California. We're in the Bay Area, but this is the emerald virtual. We're not in person, but we're virtual. I'm showing for your host for coverage of the emerald 2020. Thanks for watching.

>>from around the globe. It's the Cube >>with digital coverage of VM World 2020 brought to you by VM Ware and its ecosystem partners. Hello and welcome back to the VM World 2020 Virtual coverage with the Cube Virtual I'm John for day. Volonte your hosts our 11th year covering VM. We'll get a great guest Greg Lavender, SBP and the CTO of VM. Where, uh, welcome to the Cube. Virtual for VM World 2020 Virtual Great. Thanks for coming on. >>Privileged to be here. Thank you. >>Um, really. You know, one of the things Dave and I were commenting with Pat on just in general start 11th year covering VM world. Uh, a little difference not face to face. But it's always been a technical conference. Always a lot of technical innovation. Project Monterey's out there. It's pretty nerdy, but it's a it's called the catnip of the future. Right? People get excited by it, right? So there's really ah lot of awareness to it because it kinda it smells like a systems overhaul. It smells like an operating system. Feels like a, you know, a lot of moving parts that are, quite frankly, what distributed computing geeks and software geeks love to hear about and to end distributed software intelligence with new kinds of hardware innovations from and video and whatnot. Where's that innovation coming from? Can you share your thoughts on this direction? >>Yeah, I think first I should say this isn't like, you know, something that just, you know, we decided to do, you know, six months ago, actually, in the office of C T 04 years ago, we actually had a project. Um, you know, future looking project to get our core hyper visor technology running on arm processors and that incubated in the office of the CTO for three years. And then last December, move the engineering team that had done that research and advanced development work in the office of the CTO over to our cloud platforms business unit, you know, and smart Knicks, you know, kind of converged with that. And so we were already, you know, well along the innovation path there, and it's really now about building the partnerships we have with smart nick vendors and driving this technology out to the benefit of our customers who don't want to leverage it. >>You get >>Greg, I want if you could clarify something for me on that. So Pat talked about Monterey, a complete re architect ing of the i o Stack. And he talked about it affecting in video. Uh, intel, melon, ox and Sandoz part of that when he talks about the Iot stack, you know, specifically what are we talking about there? >>So you know any any computing server in the data center, you know, in a cola facility or even even in the cloud, you know? Ah, large portion of the, you know CPU resource is, and even some memory resource is can get consumed by just processing. You know, the high volumes of Iot that's going out, you know, storage devices, you know, communicating between the different parts of multi tiered applications. And so there's there's a there's an overhead that that gets consumed in the course server CPU, even if its multi core multi socket. And so by offloading that a lot of that I owe work onto the arm core and taking advantage of the of the hardware offloads there in the smart Knicks, you can You can offload that processing and free up even as much as 30% of the CPU of a server, multi socket, multicourse server, and give that back to the application so that the application gets the benefit of that extra compute and memory resource is >>So what about a single sort of low cost flash tear to avoid the complexities of tearing? Is that part of the equation? >>Well, you know, you can you can, um you know, much storage now is network attached. And so you could if it's all flash storage, you know, using something like envy me fabric over over Ethernet, you can essentially build large scale storage networks more efficiently, you know more cheaply and take advantage of that offload processing, uh, to begin to reduce the Iot Leighton. See, that's required taxes. That network attached storage and not just storage. But, you know, other devices, you know, that you can use you could better network attached. So disaggregated architectures is term. >>Uh, is that a yes? Or is that a stay tuned? >>Yeah, Yeah, yeah, yeah, yes. I mean the storage. You know, more efficient use of different classes of storage and storage. Tearing is definitely a prime use case there. >>Yeah, great. Thank you. Thanks for that. John, >>How could people think about the edge now? Because one of the things that's in this end to end is the edge. Pat brought it up multi cloud and edge or two areas that are extending off cloud and hybrid. What should people think about the innovation equation around those things? Is that these offload techniques? What specifically in the systems architecture? Er, do you guys see as the key keys there? >>So so, you know, edges very diversified, heterogeneous place, Uh, in the architectures of multi cloud services. So one thing we do know is, you know, workload. I would like to say workload follows data, and a lot of the data will be analyzed, the process at the edge. So the more that you can accelerate that data processing at the edge and apply some machine learning referencing at the edge were almost certainly gonna have kubernetes everywhere, including the edge. So I think you're seeing a convergence of the hardware architectures er the kubernetes control plane and services and machine learning workloads. You know, traveling to the edge where the where the data is going to be processed and actions could be taken autonomously at the edge. So I think we're in this convergence point in the industry where all that comes together. >>How important do you >>do you see that? Okay, John, >>how important is the intelligence piece? Because again, the potatoes at the edge. How do you guys see the data architecture being built out there? >>Um, well, again, it's depending on the other. The thick edge of the thin edge. You know, you're gonna have different, different types of data, and and again, a lot of the the inference thing that could happen at the edges. Going to, I think, for mawr, you know, again to take action at the edges, opposed to calling home to a cloud, you know, to decide what to do. So, depending on, you know, the computational power and the problem with its video processing or monitoring, you know, sensors, Aaron, oil. Well, the kind of interesting that will happen at the edge will will be dependent on that data type and what kind of decisions you want to make. So I think data will be moving, you know, from the edge to the cloud for historical analytics and maybe transitional training mechanisms. But, you know, the five G is gonna play heavily into this is well right for the network connectivity. So we read This unique point is often occurs in the industry every few years of all these technology innovations converging to open up an entirely new platform in a new way of computing that happens at the edge, not just in your data center at the cloud. >>So, Greg, you did a fairly major stint at a large bank. What would something you mentioned? You know, like an oil rig. But what would something like these changes mean for a new industry like banking or financial? Uh, will it have an impact there and put on your customer hat for a minute and take us through that >>e? You know, eight machines, you know, branches, chaos. You know, there's all make banks always been a very distributed computing platform. And so, you know, people want to deliver mawr user experience, services, more video services. You know all these things at the edge to interact positively with the customer without using the people in the loop. And so the banking industry has already gone through the SD when, and I want transformation to deliver the bandwidth more capably to the edge. And I just think that they'll just now be able to deliver Mawr Edge services that happened can happen more autonomously at the edge is opposed that having the hairpin home run everything back to the data center. >>Awesome. Well, Pat talks about the modern platform, the modern companies. Greg, I wanna ask you because we're seeing with Kovar, there's to use cases, you know, the people who don't have a tailwind, Um, companies that are, you know, not doing well because there's no business that you have there modernizing their business while they have some downtime. Other ones have a tailwind. They have a modern app that that takes advantage, this covert situation. So that brings up this idea of what is a modern app look like? Because now, if you're talking about a distributed architecture, some of things you're mentioning around inference, data edge. People are starting to think about these modern naps, and they are changing the game for the business. Now you have vertical industries. You mentioned oil and gas, you got financial services. It used to be you had industry solution. It worked like that and was siloed. Now you have a little bit of a different architectures. If we believe that we're looking up, not down. Does it matter by industry? How should people think about a modern application, how they move faster? Can you share your insights into into some of this conceptual? What is a modern approach and does it doesn't matter by vertical or industry. >>Yes, I mean, certainly over the course of my career, I mean, there's there's a massive diversity of applications. And of course, you know, the explosion of mobile and edge computing is just another sort of sort of use cases that will put demands on the infrastructure in the architecture and the networking. So a modern, a modern app I mean, we historically built sort of these monolithic app. So we sort of built these sort of three tier apse with, you know, sort of the client side, the middleware side. The database back in is the system of record. I mean, this is even being more disaggregated in terms of, you know, the the consumer edges both not just web here, but mobile tear. And, you know, we'll see what emerges out of that. The one thing for sure that is that, um they're becoming less monolithic and mawr a conglomeration of sass and other services that are being brought together, whether it's from the cloud services or whether it's s, you know, SBS delivering, you know, bring your own software. Um, and they're becoming more distributed because people need operated higher degrees of scale. There's a limit to Virgil vertical scaling, so you have to go to horizontal scaling, which is what the cloud is really good at. So I think all these things were driving a whole new set of technologies like next generation AP gateways. Message Busses, service mesh. We're announcing Tanzi's service message being world. Um, you know, this is just allowing allowing that application to be disaggregated and then integrated with other APS assassin services that allow you to get faster time to market. So speed of delivery is everything. So modern C I. C d. Modern software, technology and ability to deploy and run that workload anywhere at the edge of the core in the data center in the cloud. >>So when you do in your re architecture like this, Greg, I mean you've seen over the course of history in our industry you've seen so many companies have hit a wall and in VM, whereas it's just amazing engineering culture. How are you able toe, you know, change the engine mid flight here and avoid like, serious technical debt. And I mean, it took, you know, you said started four years ago, but can you give us a peek inside? You know, that sort of transformation and how you're pulling that off? >>Well, I mean, we're providing were delivered the platform and, you know, spring Buddhas a key, you know, technology that's used widely across the industry already, which is what we've got is part of our pivotal acquisition. And so what we're just trying to do is just keep keep delivering the technology and the platform that allows people to go faster with quality security and safety and resiliency. That's what we do really well at VM ware. So I think you're seeing more people building these APS Cloud native is opposed to, you know, taking an existing legacy app In trying to re factor it, they might do what it called e think somebody's called two speed architectures. Take the user front, end the consumer front in, and put that cloud native in the cloud. But the back end system of record still runs in the private cloud in a highly resilient you know, backed up disaster recovered way. So you're having, I think, brand new cloud native APS we're seeing. And then you're seeing people very carefully because there's a cost to it of looking at How do I basically modernized the front end but maintain the reliability of the scalability of security and the reliability of that sort of system of record back in? So either way, it's it's winning for the companies because they could do faster delivery to their businesses and their clients and their partners. But you have to have the resiliency and reliability that were known for for running those mission critical workloads, >>right? So the scenario is that back end stays on premise on the last earnings call, I think, Pat said, or somebody said that, that I think I just they said on Prem or maybe the man hybrid 30 to 40% cheaper, then doing it in the cloud. I presume they were talking about those kind of back end systems that you know you don't wanna migrate. Can you add some color that again from your customer perspective That the economics? >>Yeah. You know, um, somebody asked me one time what's really a cloud. Greg and I said, automation, automation, automation you can take you can take You can take your current environments and highly automate the release. Lifecycle management develop more agile software delivery methods. And so therefore, you could you could get sort of cloud benefits, you know, from your existing applications by just highly optimizing them and, you know, on the cost of goods and services. And then again, the hybrid cloud model just gives customers more choice, which is okay. I want to reduce the number of data centers I have, but I need to maintain reliability, scalability, etcetera. Take advantage of, you know, the hybrid cloud that we offer. But you'll still run things. Cloud natives. I think you're seeing this true multi cloud technology and paradigm, you know, grow out as people have these choices. And then the question is okay. If you have those choices, how do you maintain security? How do you maintain reliability? How do you maintain up time yet be able to move quickly. And so I think there's different speeds in which those platforms will evolve. And our goal is to give you the ability to basically make those choices and and optimize for economics as well as technical. You know, capability. >>Great. I want to ask you a question with Cove it we're seeing and we've been reporting the Cube virtual evolve because we used to be it at events, but we're not there anymore. But the as everyone has realized with cove it it's exposed some projects that you might not want to double down on or highlighted some gaps in architecture. Er, I mean, certainly who would have forecast of the disruption of 100% work from home VP and provisioning to access and access management security, and it really is exposed. What kind of who's where in the journey, Right in digital transformation. So I gotta ask you, what's the most important story or thing to pay attention, Thio as the smart money and smart customers go, Hey, you know what? I'm gonna double down on that. I'm gonna kill that project or sunset. That or I'm not gonna re factor that I'm gonna contain Arise it and there's probably there's a lot of that going on. In our conversations with customers, they're like it's pretty obvious. It's critical path. It's like we stay in business. We build a modern app, but I'm doubling down. I'm transitioning. It's a whole nother ballgame. What >>is >>the most important thing that you see that people should pay attention to around maintaining an innovation and coming out on the other side? >>Yeah, well, I think I think it just generally goes to the whole thesis of software defined. I mean, you know the idea of taking an appliance physical, You know, you have to order the hardware, get it on your loading dock, install in your data center. You know, go configure it, mapping into the rest of your environment. You know, whereas or you could just spend up new, softer instances of load balancers, firewalls, etcetera. So I think you know what's What's really helped in the covert era is the maturity of software to find everything. Compute storage, networking. Lan really allowed customers and many of our customers toe, you know, rapidly make that pivot. And so you know what? It's the you know, the workspace, the remote workspace. You gotta secure it. That's a key part of it, and you've got to give it. You know, you gotta have the scalability back in your data centers or, if you don't have it, be able to run those virtual desktops you know, in the cloud. And I think so. This ability again to take your current environment and, more importantly, your operating model, which, you know the technology could be agile and fast. But if you're operating models not agile, you know you can't executed Well, One of the best comments I heard from a customer CEO was, you know, for six months we debated, you know, the virtual networking architecture and how to deploy the virtual network. And, you know, when covet hit. We made the decision that did it all in one week. So the question the CEO asked now is like Well, why do we Why do we have to operate in that six month model going forward? Let's operate in the one week model going forward. E. I think that that z yeah, that's e think that's the big That's a big inflection point is the operating model has to be agile. We got all kinds of agile technology and choices I mentioned it's like, How do you make your organization agile to take advantage of those technological offerings? That's really what I've been doing the last six months, helping our customers achieve. >>I think that's a key point worth calling out and doubling down on day because, you know, whether you talk about our q Q virtual, our operating model has changed and we're doing new things. But it's not bad. It's actually beneficial. We could talk to more people. This idea of virtual ization. I mean pun intended virtual izing workforces face to face interactions air now remote. This is a software defined operating business. This is the rial innovation. I think this is the exposure. As companies wake up and going. Why didn't we do that before? Reminds me of the old mainframe days. Days? You know, why do we have that mainframe? Because they're still clutching and grabbing onto it. They got a transition. So this is the new the new reality. >>We were joking earlier that you know it ain't broke, don't fix it. And all of a sudden Covic broke everything. And so you know, virtualization becomes a fundamental component of of of how you respond. But and I wonder if Greg you could talk about the security. Peace? How how that fits in. You know everybody you know, the bromide, of course, is security can't be a bolt on. It's gotta be designed in from the start, Pat Gelsinger said years ago in the Cube. Security is a do over. You guys have purchased many different security components you've built in. Security comes. So how should we think about? And how are you thinking about designing insecurity across that entire stack without really bolting in, You know, pieces, whether it's carbon, carbon, black or other acquisitions that you've made? >>Yeah, I mean, I think that's that's the key. Inflection point we're in is an industry. I mean, getting back to my banking experience, I was responsible for cybersecurity, engineering the platforms that we engineered and deployed across the bank globally. And the challenge, the challenge. You know, that's I had, you know, 150 plus security products, and you go to bed at night wondering what? Which one did I forget to deploy or what did I get that gap? Do you think you think you're safe by the sheer number, but when you really boil down to it is like, you know, because you have to sort of like both all this stuff together to create a secure environment, you know, on a global level. And so really, our philosophy of VM where is Okay? Well, let's kind of break that model. That's what we call it intrinsic security, which is just, you know, we have the hyper visor. If you're running, the hyper visor is running on most of the service in your data center. If we have your if you have our network virtualization, we see all the traffic going between all those hyper visors and out to the cloud as well hybrid cloud or public cloud with our NSX technology. And then, you know, then you sort of bring into that the load balancers and the software to find firewalls. And pretty soon you have realized Okay, look, we have we have most of the estate. Therefore we could see everything and bring some intelligent machine learning to that and get proactive as opposed to reactive. Because our whole model now is we. All this technology and some alert pops and we get reactive. How about proactively telling me that something nasty is going on. >>I need to ask you a >>question. May be remediated. Sorry, John. It may be remediated at some point anyway. Bring in some machine intelligence tow. So instead of like you said, getting an alert actually tells me what what happened and how it was fixed, you know? Or at least recommending what I should dio, right? >>Yeah. I mean, part of the problem in the historic architectures is it was all these little silos. You know, every business unit had its own sort of technology. And Aziz, you make things virtualized. You you sort of do the virtual networking. The virtual stories of virtual compute all the software. You know, all of a sudden you have you have a different platform, you have lots of standardization. Therefore you don't have your operating model simplifies right and amount of and then it's about just collecting all the data and then making sense of the data. So you're not overwhelming the human's capacity to respond to it. And so I think that's really the fundamental thing we're all trying to get to. But the surface area is enlarged outside the data centers we've discussed out to the edge, whatever the edges, you know, into the cloud hybrid or public. So now you've got this big surface area where you've gotta have all that telemetry and all that visibility again, Back to getting proactive. So you got to do it in Band is opposed out of band. >>Great. I want to ask you a question on cyber security. We have an event on October 4th, the virtual event that Cuba is hosting with Cal Poly around this space and cybersecurity, symposiums, intersection of space and cyber. I noticed VM Ware recently announced last month that the United States Space Force has committed to the Tan Xue platform for for Continuous Dev ops operation for agility. I interviewed Lieutenant General John Thompson, Space Force, and we talked about that. He said quote, it's hard to do break fix in space. Uh, illustrating, really? Just can't send someone to swap out something in space. Not yet, at least. So they're looking at software defined as a key operating reality. Okay, so again, talk about the edge of space Isas edges. You're gonna get it. Need to be completely mad and talk about payloads and data. This >>is kind >>of interesting data point because you have security issues because space is gonna be contested and congested as an edge device. So it's actually the government's interested in that. But fundamentally, the death hops problem that you're you guys are involved in This >>is a >>reality. It's kind of connects this reality idea of operating models based in reality have to be software. What's >>your name? Yeah. I mean, I think the term we use now is def sec ops because you can't just do Dev ops. You have to have the security component in there, So, uh, yeah, the interesting. You know, like, there's a lot of interesting things happen just in fundamental networking, right? I mean, you know, the StarLink, you know, satellites at Testa. His launched Elon musk has launched and, you know, bringing sort of, you know, higher band with laurel agency to those. Yeah, we'll call it near space the and then again, just opens up all new opportunities for what we can dio. And so, Yeah, I think that's the software that the whole the whole saw for development ecosystem again, back to this idea. I think of three things. You gotta have speed. You gotta have scale and you gotta have security. And so that's really the emerging platform, whether it's a terrestrial or in near space, Uh, that's giving us the opportunity, Thio Do new architectures create service measures of services, some terrestrial, some some you know, far remote. And as you bring these new application architectures and system platform architectures together with all the underlying hardware and networking innovations that are occurring, you mentioned flash. But even getting into pmm persistent memory, right? So this this is so much happening that is converging. What's exciting to me about being a TV? Where is the CTO and we partner with all the hardware vendors? We partner with all the system providers, like in video and others. You know, the smart nick vendors. And then we get to come up with software architectures that sort of bring that together holistically and give people a platform. We can run your workloads to get work done wherever you need to land those workloads. And that's really the excitement about >>the candy store. And yet you've got problems hard problems to work on to solve. I mean, this really brings the whole project moderate, full circle because we think about space and networks and all these things you're talking about, You need to have smart everything. I mean, isn't that software? It's a complete tie into the Monterey. >>Yeah, yeah, yeah, Exactly. You're right. It's not just it's not just connecting everything and pushing data around its than having the intelligence to do it efficiently, economically, insecurely. And that's you know. So I see that you don't want to over hype machine learning. I did not to use the term AI, but use the machine learning technologies, you know, properly trained with the proper data sets, you know, and then the proper algorithms. You know that you can then a employee, you know, at the edge small edge, thick edge, you know, in the data center at the cloud is really Then you give the visibility so that we get to that proactive world I was talking about. >>Yeah, great stuff, Greg. Great insight, great conversation. Looking forward to talking mawr Tech with you. Obviously you are in the right spot was in the center of all the action across the board final point. If you could just close it out for us. What is the most important story at VM World 2020 this year. >>Um, well, I think you know, I like to say that I have the best job. I think you know that I've had in my career. I've had some great ones is you know, we get to be disruptive innovators, and we have a culture of perpetual innovation and really being world for us, Aly employees and all the people that work together to put it together is we get to showcase. You know, some of that obviously have more up our sleeves for the future. But, you know, being world is are, you know, coming coming out out show of the latest set of innovations and technologies. So there's going to be so much I have, ah, vision and innovation. Keynote kickoff, right. Do some lightning demos. And actually, I talk about work we're doing in sustainability, and we're putting a micro grid on our campus in Palo Alto and partnership with City of Palo Alto so that when the wildfires come through or there is power outages, you know we're in oasis of power generating capacity with our solar in our batteries. And so the city of Palo Alto could take their emergency command vehicles and plug into our batteries when the power is out in Palo Alto and operate city services and city emergency services. So we're not just innovating, you know, in cortex we're innovating to become a more, you know, sustainable company and provide sustainable, you know, carbon neutral technology for our customers to adopt. And I think that's an area we wanna talk about me. We talk about it next time, but I think you know our innovations. We're gonna basically help change the world with regard to climate as well. >>Let's definitely do that. Let's follow up for another in depth conversation on the societal impact. Of course, VM Ware VM Ware's VM World's 2020 is virtual is a ton of sessions. There's a Cloud City portion. Check out the 60 solution demos. Of course, they ask the expert, Greg, you're in there with Joe Beta Raghu, all the experts, um, engage and check it out. Thank you so much for the insight here on the Cube. Virtual. Thanks for coming on. >>Appreciate the opportunity. Great conversation and good questions. >>Great stuff. Thank you very much. Innovation that vm where it's the heart of their missions always has been, but they're doing well on the business side, Dave. Okay. The cube coverage. They're not there in person. Virtual. I'm John for day. Volonte. Thanks for watching.

>>from around the globe. It's the Cube with digital coverage of VM World 2020 brought to you by VM Ware and its ecosystem >>partners. Hello and welcome to the Cube. Special coverage of VM World 2020 Virtual I'm John for host of the Cube were stupid men Day volonte all doing interviews covering the virtual version of VM World. First time it's ever happened. We've been covering VM World for over 10 years, our 11th season with Cube at VM World. And of course, it's difference virtual. But we're doing our part. We're getting in the programs. We need to get the stories out and we got a great guest here. Submit to on who's the chief customer officer of the M where, uh, back to VM, where he ran the end user computing of which we covered air. Watch a lot of great announcements Submit. Great to see you. Thanks for coming on to the Q. Virtual >>John. Great to see you again. And great to be back on the Cube. >>So great to see you. And again I know you. You came in your back into the wheelhouse of VM ware. But as the theme of this show is putting the digital foundation for an unpredictable world. Also, with Covidien going virtual makes a lot of sense. However, VM Ware has been doing extremely well on the business performance side and making all the right tech moves we've been covering them to Cuba is well documented, the business models evolving. The performance is there. You are in a new role for VM, where its newly created chief customer officer tell us why you're back. Why this role? Why is it important? >>Yeah, great question, John. You know, I I joined the anywhere because we end where I look at sort of what bm where is trying to do all aligned with what customers want If you think about customers, they have been up until now, dabbling with cloud building sort of strategies on how to embrace Cloud, which applications will go to which parts off the cloud. And it has been something that has been more off slow RL strategy and with the multi cloud transition plan. Now, VM Ware provides to some extent this, you know, started out with operating system for the hardware, and it has evolved to provide operating system for the cloud it truly runs applications across multiple clouds. And with our partnerships with AWS Azure, Microsoft Google, we're able to sort of give our customers this multi cloud platform for them to run any application, whether that's traditional or modern, in a sort of unified operational fashion. Now this is a different subscription world for customers, right and customers in the world of cloud, especially when they're going into this kind of a transformational journey. Um, you know, it requires we anywhere to think slightly differently. It's not just the traditional cell implement support kind of customer model. You have really help them achieve their out, come over a period of time and then make them successful as they continue to sort of face the uncertainties off the multi cloud world. So So So Pat and Sanjay decided to create this new customer experience office and all different functions from success support digital engagement as well a czar insulting professional services. Tam's were put together so that we can offer integrated experiences to the customer. And that sounded exciting and, you know, we're making tons off interesting innovations there. Some announced that GM World and, uh, very much aligned with an objective to help our customers. >>E. I want to dig into the news and the announcement because I think there's a specific thing I'd like to drill into. But I want to get your thoughts submit because I think VM Ware and I thought to Sanjay about this as well as Pat. Clearly. Cooper Days is the dial tone of the Internet investment cloud Native Project. Monterey speaks to Multi cloud, totally get it. But Cove it has accelerated not only VM where every company, whether they're on the delivery side of it selling side or even consuming of the technology cloud, for instance, has forced the digital transformation. And it's catching some people off guard, right? So what are your thoughts? Because, you know, you have a value projects, you sell it to customers, you implement it, you support it. I mean, that >>was a >>nice grew swing for enterprise vendors like VM Ware. But now, with cove, it and all the digital transformation acceleration, it's causing a lot of people to be ready faster. How >>do you get >>that readiness? What do you bring to the table? What's your view on this? What's your reaction? Because people >>try to >>figure this out. It's confusing. >>I mean, I You know what it's it's very interesting. For example, I will give you an example. There's like, two extremes, and both of them are dealing with a very similar situation, all caused because of prove it. Okay, On one end of the spectrum, there are customers who are saying, Listen, our business is doing extremely well because of digital, and all of a sudden, uh, business needs this rapid agility, which can only be achieved through modern applications, and they're able to sort of move these applications because of elasticity of the cloud and leveraging multiple clouds. To do so is extremely important. If you're on one side of the spectrum on your business, where the business is doing extremely well, you have a percentage of the business that was coming from e commerce. All of a sudden that e commerce has accelerated. You know you can think off certain retailers, you know. Large scale retailers in that segment, and their their multi cloud journeys are accelerated, mostly because off just this surge in demand and change in capabilities that are needed to perform digital engagement with customers at a much much rapid pace, which are very difficult to do without leveraging multiple clouds. That's one extreme. The other extreme is, you know, I'll give you an example from large scale airlines and we all know in the travel hospitality airline business, this is extremely slow business for them, right at this point of time, and they're using the opportunity off this sort of time when things are slower to say, Okay, why don't we take this opportunity to fundamentally change our distilling it and truly embraced multi cloud while doing so? Because there is an opportunity to do so. The workload on the application than the infrastructure does not high little more technology reasons. A little bit more sort of a for downtime reason sort of go through the transformation faster. In other words, both ends of the spectrum. I'm seeing customers move the words sort of this destination fast it. And guess what? There is really no one at this stage outside of VM ware who can help them achieve that because otherwise you set a single voice. You know, there are their players who died. You tow their singular cloud solution and running. You know what I what I tell customers is multi cloud doesn't mean you are running two different architectures on two different clouds, right? That's not multi cloud. Multi cloud means running a singular architectures on multiple clouds, because that's when you get through governance and true operational scale and true experience and elasticity and control. And that's what we, um, where is all about? So we are now engaged with those conversations and helping customers at both the front end right when they're engaged with us at this stage. But we have also down tailored our service delivery and our success off offerings and are how we engage with customers digitally and sort of technically and through people. Uh, in once they start their journey with us, Um, and they sort of embark on leveraging the technology into multi cloud I want. So So that's the sort of shift that has occurred. >>Yeah, I want to unpack the offering in a second, but I want to stay in the customer experience for a minute. We've heard that cliche a customer experience. So digital transmission. Okay, it's actually happening now, and I totally agree with you, by the way there's there's the modernization trend. You just basically spoke to the spectrums. But it's about modernization. Okay, if you think modernization, you think business model business model is Hey, it's pretty light right now. I'm not a lot of people traveling. Let's retool, Let's modernize, Let's use our resource is and modernize our business, which is a lot of applications. It's everything up and down the stack. And then the companies that have a tailwind with Covic, who have had the epiphany and saying, If we don't building modern app or have modern APS in market, we're out of business. So there's a critical urgency to, uh, coming out of it with a growth strategy that's a business model transformation. Totally get that. That's where the customers are. So the question for you is okay. How do you talk to the customer that is saying, Hey, I'm building a modern app. We have to pivot, were forced to pivot whatever word you want to use force to survive. They're now they have to build a modern app. How do you guys support that customer? How does that customer? What does that customer need to be successful? >>Yeah, I mean, I think it starts with an architectural approach right. We bring to the customers and architectural approach across multiple clouds that helped them when they go for their existing applications or new modern applications conforming toe, one operating model and one architectures. Because in this in this time, you know, customers have many critical line of business applications. This airline customer I was talking about, they have 600 applications that are quite critical. They sort of segment them out on which one they will truly modernize because of the business model modernization like you mentioned and which ones they will live with, the way they are for multiple reasons and how it starts with connecting them with a unified architect chair and a unified operating model is how we start with customers. Okay. And that is where the power off the younger comes in. Because, like I said, it becomes this architectural operating system for for the customers to run and adopt multiple clouds. >>You gotta be the chief customer officer. You're the quarterback. You're the one in charge of making sure customers were happy. Okay? And they get what they need. And again, there's different aspects of it. What do you guys announcing it? VM World 2020 virtual, um, that people should pay attention thio around servicing customers in this new subscription and SAS world. >>Yeah, I think besides the technology announcements in terms off modern, sort off, multi cloud platform, the architectural with Project Monterey from the customer experience side, we did announcement to announcements. One was for customers embarking on a journey. We want to make sure that customers get everything they need to be successful on the journey on an ongoing basis. Some off these journeys for large customers, John can take not just sort of three months, but three years because they're dealing with various applications. So for that we announced two pretty simple and easy to embrace offerings. One is AP navigator. AP Navigator enables customers to quickly assess which applications I have to be, you know, on one end, you know, rewritten, completely rewritten and on the other end simply sort of re hosted. Okay, and there are multiple options in between, and we call them as a five, our model with customers, and we guide customers through our own assessment and working with customers on how to sort of segment their applications and use a common architectures across all of them that we can then help and it and secondly, toe help them with. We announced something called Success 3 60 Success 3 60 is Our Mechanism Toe guide and help customers on an ongoing basis for a success plan with continuous, sort off adoption guidance designed workshops as well as providing they're dedicated support that customers need for embracing multiple cloud across all the cloud. With this architectural this way, customers get assured that they're able to get the right up front sort of assessment on applications and ongoing success. Okay, And that's sort of what we announced within customer experience side. And we have been able all of this available two people you know there are critical for large scale engagements, but also digital, you know, just like our customers are innovating with digital. We innovated with our own digital environment, and we brought it all together with something called customer Connect, all available with one single digital experience that's mobile friendly, alert driven, search driven. You know, all the AI that's needed at this point of time in terms of engaging with customers with proactive notifications and guidance in terms of how they're doing with success built into a singular experience so that they can engage with us, and we can engage with them to make them successful. >>And so it's people in technology you guys are bringing to the table. What can customers expect? Because, you know, as they've worked with the M where you've always had great technical support outside its have been a technology driven company. Um, but as you start getting into SAS, you're starting to get into the business model transformation. How do you guys impacting the customers and how you go to market and how you, uh, service your customer base? >>Yeah, I think there are two elements What customers can expect one. They don't have to stand up and engagement and experience mortal completely separate for a small set of applications on a completely different you know, cloud architectures. They could just fit and build a single experience off dealing with the M, where, as a mechanism to enable all of their applications to be hosted, regardless of which cloud there in Uh huh Sandvik they do it at their own pace, right? As then when they're ready for applications. Secondly, and more importantly, for the business model transformation side. We have a model where we continue to show them the value realization. Okay, because these are true business model transformations. At this stage, there is lot off investment that's coming into I P while at the same time, the rest off the business is doing belt type. So there is a continuous pressure on Earth. Customers are I t. That is the champion for the customers, and they're working with developers in line of business teams, and they have to continue to show how what they're investing into as a singular platform or in architecture is going to deliver some kind of a value on an ongoing basis. So we have delivered on an ongoing basis rip boards and feed back and continuous sort of information back to the customers so that they can take back to their businesses on all the investments they're making now are ongoing basis what value the business is getting, because at the end of the day in this, this is probably the first time in the where I I t is probably getting the least belt tightening in the case off sort of an economic downturn, and in fact, it is being looked at as a way to invest out off the downturn. Right? So they're going to be, in a way where there sometimes even going into the boardroom and showing not just governance, but also sort of the investments they made, what kind of value they they got. So those are the two things were providing seamless and at at pace move toe multi cloud with a common experience and second, ongoing value realization that they can communicate whoever they need. Toe >>submit. You know, we've been following VM where for many me personally of persons that was founded. But with the Cube since 2010 star 11th year, You know, we've been critical of times and pointing out the obvious and in some cases, not so obvious successes and challenges. Um and so we've seen the completeness of vision evolved and pat, certainly. You know, he he held the line and he did the right things. And then he executed. So, you know, as you look at the emerald, we're now been complimentary on some of the moves. Certainly on the technology side that you guys have made and then we again we've talked about this many times on the Cube. So complete in this, uh, vision check. Okay, this is wholesome. Michael Dell issues, but gave talks about that. So good vision complete executed business performance is there. But as you talk about sass and subscription, your ability to execute is going to be a key variable and things like the Gartner Magic quadrant for the areas you're competing in. Multi cloud talk about how you guys just set up financially to support that personnel. What is your organization gonna do? Can you share your vision? How you going to be able to execute customers success programs as this uncertainty around multi cloud continues to become reality and things are changing. >>Yeah, I think a couple of things firstly, you know, to be absolutely candid, you know, the pace at which the customers are going to the new multi cloud models is faster now than it was nine months ago. We just discussed that. Okay, so I wouldn't I would be misrepresenting if I said we always were ready for this kind of the case. We're also adjusting and innovating at this stage as fast as possible. The good news is that we were headed in the right direction. Okay, if we were headed in the wrong direction, it would have been much, much harder. Okay. Secondly, I think there is a very strong leadership, the leadership team. I mean, at the end of the day, it's vision, leadership, team investment, the components and, of course, diligence to execute that comes in for the execution. To me vision and the direction was always very, very strong. It motivated me to join the anywhere for this important mission. Second and many other exact. If second the leadership team is as strong as they get, the four team is extremely strong. We have strong leadership team leadership from Pat Michael, of course, as well as Sanjay Rgu Rajiv. Everyone provides strong leadership and then third, you asked about sort of the financial element. You know, they're The company continues to perform quite well, right? We have core businesses that some critical for customers to use as technologies to enable them, you know, to come out off this sort off economic issue we're facing and they're facing. So as a result, you know, financially, we're in a good position to be able to invest back into the business and Secondly, we have made now we've always, always been extremely strong on the technology front. Okay, now with Sanjay and packed sort of saying that we're going to be extremely strong in terms of customer experience front because the world of subscription, the world of cloud, the world off the SAS requires not just great technology but also a great customer experience. So we're seeing tremendous in a continued sort of support financially in terms of investing into the customer experience, from both getting the right set of people offerings as well as technology. So I believe we have all three things. Having said that, you know, some of these things that we're investing in. They need a lot of work, and I'm. While I'm proud of what we have accomplished, I truly believe you know the best is yet to come, and the right investments that we're making are going to continue to sort of enhance our offerings both through people as well as technology. But there's work to be done. You >>know, it's all about, you know, having the consume ability of the technology thio, the value proposition of VM ware and also also is a company being um, open and easy to work with and consumable that way. So I think this is a great time. Certainly. Product wise. Business wise, You guys do extremely well. Congratulations on your new role on the senior leadership is the chief customer officer of VM Ware will be following the stories of your customers. So I really appreciate you taking the time. >>Thank you. Thank you so much, John. Excited to be back. Great >>to have you back on the queue here. VM world coverage of 2020 virtual. I'm John for this. The host of Cube Virtual. Check us out cube dot Net. And also our new cube 3 65 where it's our new modern application for virtual events. Of course, we want to continue to tell the most important stories and cover all the key people making it happen. Submit. Thank you for coming on. This is the Cube. Thanks for watching